Deductions & credits

No.  Schedule C is just one kind of income on your 1040 tax return.  Schedule C Net Profit or Loss ends up on 1040 line 8.  401K withdrawals are on 1040 line 5.  

 

Here is a 1040 to look at

https://www.irs.gov/pub/irs-pdf/f1040.pdf 

 

And for 401k and IRA withdrawals..........

You don't actually pay the tax or the 10% penalty (you pay a 10% early withdrawal penalty if you are under 59 ½). You have taxes withheld like from your paycheck. You still have to enter the whole gross amount (before taxes were withheld) with your other income to figure out the total tax (and it may put you into a higher tax bracket) and then the withholding is subtracted from the total tax to figure your refund or tax due. The Gross amount shows up on 1040 line 4a or 5a and the taxable amount on 4b/5b. The withholding will show up on 1040 line 25b.