Per the IRS,
"If your sole proprietorship business has no profit or loss during the
full year, it's not necessary to file a Schedule
C (Form 1040), Profit or Loss from
Business (Sole Proprietorship), for that year. If this applies to you, then you may not need to upgrade.
If your business is
inactive, but you receive payments such as insurance that relate to the
business, you must report those payments on a Schedule C or Schedule
C-EZ (Form 1040), Net Profit From
Business (Sole Proprietorship).
For more
information, please see this IRS link: https://www.irs.gov/help-resources/tools-faqs/faqs-for-individuals/frequently-asked-tax-questions-an...
