Schedule of Business Income: 2025 Ohio Schedule of Business Income (2025)
Ohio · Ohio Department of Taxation · Used for tax years 2025
The 2025 Ohio Schedule of Business Income reports business income and its sources for you and your spouse if filing jointly. It calculates the business income deduction, taxable business income, and business income tax liability for Ohio IT 1040.
Who files this form
Use the 2025 Ohio Schedule of Business Income to report business income you received during tax year 2025. If you file jointly, include your spouse’s business income too.
Report only amounts included in your federal or Ohio adjusted gross income, as applicable. Use one Schedule of Business Income per return.
What you'll need
Have the following forms and information available, as applicable:
- Federal Schedules B, C, D, E and F for business income or losses reported there.
- Form 4797 amounts and other business income or losses not reported on those schedules.
- Guaranteed payments or compensation from a pass-through entity in which you are a 20% or greater direct or indirect owner.
- Information about qualifying business-income add-backs for taxes paid on Ohio IT 4738 or taxes paid to another state or the District of Columbia related to IRS Notice 2020-75.
- Ohio IT 1040 and Ohio Schedule of Adjustments for the amounts used or entered on those forms.
- Your primary taxpayer’s SSN, each business’s name and FEIN or SSN, and your ownership percentage. For joint returns, also have your spouse’s ownership percentage.
Common mistakes
- Do not include nonbusiness income from the listed IRS schedules.
- Include only amounts that are in your federal or Ohio adjusted gross income, as applicable.
- Use whole dollars only. Mark negative amounts with a minus sign in the box provided.
- Use only black ink and uppercase letters. Do not write in the department-use-only area.
- If the lesser amount used for line 11 is negative, enter zero, stop there and do not complete Part 3. Also skip Part 3 if Ohio IT 1040, line 5 is zero.
- In Part 4, list all business sources, with Ohio sources first and one entry per business. If both spouses own the same business, list each spouse’s ownership percentage separately.
- Use only one schedule per return. If you need more room for business sources, complete additional copies of page 2 and include them with your return.
Questions people ask
What is the business income deduction amount?
Line 12 is $250,000 for single or married filing jointly, or $125,000 for married filing separately. Your deduction on line 13 is the lesser of line 11 or line 12. Enter it on Ohio Schedule of Adjustments, line 13, too.
How do I calculate line 11?
Enter the lesser of your total business income on line 10 or Ohio IT 1040, line 1. If that amount is negative, enter zero, stop there and do not complete Part 3.
How is taxable business income calculated?
If Part 3 applies, subtract line 13 from line 11 and enter the result on line 14. Line 15 is the lesser of line 14 or Ohio IT 1040, line 5. Enter line 15 on Ohio IT 1040, line 6, too.
What tax rate does this schedule use?
Line 16 calculates business income tax liability by multiplying taxable business income on line 15 by 3% (.03). Enter the result on Ohio IT 1040, line 8b, too.