Sole Proprietorship Returns, 2004
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Sole Proprietorship Returns, 2004
by Kevin Pierce and Michael Parisi
F
or Tax Year 2004, there were approximately
20.6 million individual income tax returns that
reported nonfarm sole proprietorship activity.
Nearly every sole proprietor industrial sector reported
an increase in profits. Total profits for all nonfarm
sole proprietorships were $247.6 billion, a 7.5-percent
increase from Tax Year 2003. When adjusted for
inflation, profits increased by 4.4 percent, the highest
percentage increase in profits since 1998. The
largest percentage increase in profits for a major
industrial sector was 18.3 percent for the wholesale
trade sector, followed by a 9.2-percent increase by
both the real estate and rental and leasing sector and
the professional, scientific, and technical services
sector. Although overall profits for nonfarm sole
proprietorship returns increased, deficits also increased by an amount of 7.5 percent in real terms
from Tax Year 2003.
In addition to an increase in profits for sole
proprietorships in Tax Year 2004, there was an
increase of both receipts and deductions reported on
these returns: total business receipts increased 8.5
percent to $1,139.5 billion, and total business deductions grew 8.8 percent to $892.4 billion. The finance
and insurance sector reported the largest percentage
increase in both receipts and deductions with a 13.6percent increase in business receipts and a 15.5percent increase in deductions. The construction
sector reported the second largest growth in receipts
at 12.8 percent. For 2004, when inflation is taken
into account, sole proprietors reported the largest
increase in both receipts and deductions since before1988.
The North American Industry Classification
System (NAICS) for industrial coding was introduced
for the first time in Tax Year 1998. Because of the
coding changes, comparisons between data from
1998-2004 with 1997 and prior years may show
inconsistencies. A reason for this was that many sole
proprietorships under the NAICS system were classified in completely different industrial groups, which
Kevin Pierce and Michael Parisi are economists with the
Individual Research Section and the Individual Returns
Analysis Section, respectively. This article was prepared
under the direction of Carl Greene, Chief of the Individual Research Section, and Jeff Hartzok, Chief of the
Individual Returns Analysis Section.
makes prior-year comparisons inappropriate. For
example, in 1997, finance, insurance, and real estate
were grouped by Standard Industrial Classification
(SIC) codes as one industry, while, under the NAICS
system, the group has been split into two industrial
sectors. The industrial sectors based on the NAICS
codes are reported in Tables 1 and 2.
Returns and Receipts
The number of individual income tax returns reporting
nonfarm sole proprietorship activity for 2004 increased 4.5 percent to almost 20.6 million (Figure
A)[1]. The two largest industrial sectors (in numbers of returns) showed an increase in the number of
returns for Tax Year 2004; the professional, scientific, and technical services sector, with
approximately 3.0 million returns, increased 7.2
percent, and the construction sector, with approximately 2.6 million returns, increased 3.8 percent.
The largest reported increase for any industrial sector
was in the wholesale trade sector, with a 21.6percent increase to almost 351 thousand returns.
Total business receipts (the sum of “income from
sales and operations” and “other business income”)
for all nonfarm sole proprietorship industries increased 8.5 percent, from $1,050.2 billion to $1,139.5
billion [2]. The finance and insurance sector showed
the largest percentage increase in receipts, reporting
an increase of $8.7 billion or 13.6 percent. The
second largest percentage increase in receipts for
2004 was in the construction sector, with an increase
of 12.8 percent. This was followed closely by the
12.5-percent growth in receipts in the real estate and
rental and leasing sector, as well as the 12.3-percent
growth in the transportation and warehousing sector.
Overall, in constant dollar terms, total business receipts had the largest annual increase over Tax
Years 1988-2004 of 5.4 percent (Figure B) [3].
Deductions
Total business deductions (“cost of sales and operations” plus business expenses, including expenses for
home office) in current dollars increased 8.8 percent
from $820.2 billion for 2003 to $892.4 billion for 2004
(Figure A) [4,5]. The finance and insurance sector
showed the largest percentage increase in deductions, with 15.5 percent. As shown in Figure B,
when accounting for inflation, business deductions
7
Sole Proprietorship Returns, 2004
Figure A
Nonfarm Sole Proprietorship Returns, Receipts, and Deductions, by Selected Industrial Sectors,
Tax Years 2003 and 2004
[Number of returns is in thousands--money amounts are in billions of dollars]
Number of returns
Industrial sector
2003
2004
Total business receipts
Percentage
2003
2004
increase
(1)
8
Total business deductions ¹
Percentage
2003
2004
increase
Percentage
increase
(2)
(3)
(4)
(5)
(6)
(7)
(8)
All nonfarm industries........................... 19,710.1
20,590.7
4.5
1,050.2
1,139.5
8.5
820.2
892.4
(9)
8.8
Construction...............................................
Specialty trade contractors......................
2,491.2
1,998.4
2,586.8
2,084.0
3.8
4.3
175.8
120.0
198.4
134.7
12.8
12.2
146.9
97.2
167.3
110.2
13.9
13.4
Wholesale trade (merchant wholesalers)...
Retail trade.................................................
288.5
2,416.1
350.8
2,399.4
21.6
-0.7
38.3
177.0
40.8
187.1
6.6
5.7
34.0
169.1
35.7
179.0
5.2
5.9
Transportation and warehousing................
Finance and insurance...............................
944.6
659.0
982.8
672.7
4.0
2.1
58.1
64.4
65.3
73.1
12.3
13.6
49.9
48.1
56.6
55.6
13.3
15.5
Real estate and rental and leasing.............
Real estate..............................................
1,074.1
1,019.6
1,179.4
1,113.9
9.8
9.2
62.7
58.8
70.5
66.6
12.5
13.2
37.2
33.2
42.6
38.6
14.6
16.3
Professional, scientific, and
technical services.....................................
2,752.8
2,951.0
7.2
128.5
137.7
7.1
76.5
80.9
5.8
Administrative and support and waste
management and remediation services...
1,881.2
1,994.8
6.0
46.7
50.0
7.1
33.7
35.9
6.7
Health care and social assistance..............
Child day care services...........................
1,762.8
721.4
1,778.0
694.1
0.9
-3.8
99.4
9.8
104.2
10.0
4.8
2.1
59.6
6.3
62.2
6.4
4.3
1.3
Arts, entertainment, and recreation............
1,098.5
1,132.2
3.1
24.1
26.4
9.4
18.7
20.6
10.1
Performing arts, spectator sports,
and related industries...........................
937.7
963.5
2.8
17.9
19.3
7.8
12.7
13.8
8.8
Other services............................................
Personal and laundry services................
1,995.0
1,239.5
2,089.3
1,338.7
4.7
8.0
70.2
31.9
73.0
33.6
4.0
5.2
54.2
22.2
56.6
23.0
4.3
3.9
All other industries......................................
2,346.2
2,473.4
5.4
105.0
113.1
7.7
92.3
99.4
7.7
¹ Total business deductions are calculated before subtraction of nonallowable "passive" activity losses and any "passive loss" carryover from prior years.
NOTE: Detail may not add to totals because of rounding. Percentage increases were calculated before rounding.
increased 5.7 percent, the largest increase in deductions from Tax Years 1988-2004.
Representing 41.6 percent of total 2004 business
deductions, the cost of sales and operations was
approximately $371.0 billion (Figure C), a 9.6-percent
increase from the 2003 level. Total business “expenses” (total business deductions minus the cost of
sales and operations) were $521.5 billion for 2004, an
8.2-percent increase from the 2003 amount. Figure D
graphically presents the main components of total
business expenses. The largest component, salaries
and wages, accounted for 13.6 percent of the total.
For 2004, salaries and wages totaled $71.1 billion, a
5.1-percent increase from 2003. The next largest
components of business expenses were cars and
trucks (11.3 percent), depreciation (8.2 percent), and
rent on business property, machinery, and equipment
(5.4 percent). For 2004, these items were $59.0
8
billion, $42.9 billion, and $36.9 billion, respectively.
Car and truck expenses showed a 10.3-percent
increase from 2003; depreciation a 2.7-percent
increase, and rent on business property, machinery,
and equipment a 3.4-percent increase. While contract labor, represented only 3.5 percent of all business expenses for 2003, it had the largest percentage
increase for 2004 of 45.4 percent and went up to 4.7
percent of all business expenses.
Beginning with 1993, constant dollar depreciation
increased every year through 2003, except for 1995,
when it decreased 1.9 percent to $28.5 billion [6].
However, for 2004, constant dollar depreciation
showed a decrease for the first time in 9 years. This
was possibly due to the rather large increase in
allowable expensing of depreciation for 2003, leaving
less to expense for 2004. Under the Jobs and
Growth Tax Relief Reconciliation Act of 2003, a
Sole Proprietorship Returns, 2004
Figure B
Nonfarm Sole Proprietorship Receipts, Deductions, and Profits, Tax Years 1988-2004
[Money amounts are in billions of dollars]
Total business deductions 1
Total business receipts
Constant dollars 2
Tax
year
1988.....................
1989.....................
1990.....................
1991.....................
1992.....................
1993.....................
1994.....................
1995.....................
1996.....................
1997.....................
1998.....................
1999.....................
2000.....................
2001.....................
2002.....................
2003.....................
2004.....................
Current
Net income less deficit (profits)
Constant dollars
2
Constant dollars 2
Percentage
Current
Percentage
Current
dollars
Amount
increase
dollars
Amount
increase
dollars
Amount
Percentage
increase
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
672.0
692.8
730.6
712.6
737.1
757.2
790.6
807.4
843.2
870.4
918.3
969.3
1,021.0
1,016.8
1,029.7
1,050.2
1,139.5
887.8
881.9
895.5
843.9
853.3
856.8
876.0
876.6
898.5
912.2
951.8
990.5
1,021.0
993.3
990.6
990.8
1,044.5
--0.7
1.5
-5.8
1.1
0.4
2.2
0.1
2.5
1.5
4.3
4.1
3.1
-2.7
-0.3
(³)
5.4
545.7
560.2
589.2
571.2
583.1
600.8
623.8
638.1
666.5
683.9
716.2
761.4
806.4
799.6
808.9
820.2
892.4
720.9
713.1
722.1
676.4
675.0
679.7
691.2
692.8
710.1
716.7
742.3
778.0
806.4
781.1
778.2
773.8
818.0
--1.1
1.3
-6.3
-0.2
0.7
1.7
0.2
2.5
0.9
3.6
4.8
3.6
-3.1
-0.4
-0.6
5.7
126.3
132.7
141.4
141.5
154.0
156.5
166.8
169.3
176.8
186.6
202.3
207.9
214.7
217.4
221.1
230.3
247.6
166.9
168.9
173.3
167.6
178.3
177.0
184.8
183.8
188.3
195.6
209.7
212.5
214.7
212.3
212.7
217.3
226.9
-1.2
2.6
-3.3
6.4
-0.7
4.4
-0.6
2.5
3.9
7.2
1.3
1.1
-1.1
0.2
2.1
4.4
¹ Total business deductions are calculated before subtraction of nonallowable "passive" activity losses and any "passive loss" carryover from prior years. However, these losses
(after subtraction) and any carryover are reflected in net income or deficit. Therefore, total business receipts minus total business deductions may not always equal net income
or deficit.
² Constant dollars are based on the overall implicit price deflator for gross domestic product computed and reported by the U.S. Department of Commerce, Bureau of Economic
Analysis, in the Survey of Current Business . The deflator represents the annual average of current-weighted prices, based on 2000 = 100.
³ Less than 0.05 percent.
NOTE: Percentage increases were calculated before rounding.
substantial increase in the maximum allowable Section 179 deduction from $24,000 for 2002 to $100,000
for 2003 led to depreciation increasing significantly by
11.7 percent in real terms. For 2004, with the179
deduction increasing to $102,000, depreciation deductions had only a slight change, a decrease (in real
terms) of 0.2 percent (Figure E). Although not all of
the growth in depreciation in 2003 can be attributed
to the change in the Section 179 deduction, the significant increase in the deduction amount greatly
impacted the depreciation deductions for sole
proprietorships. With the extra depreciation expensed for 2003 and only a $2,000 increase in the 179
deduction amount between 2003 and 2004, there was
relatively no change in depreciation deductions for
2004 [7, 8].
Beginning with Tax Year 1992, certain smaller
businesses could elect not to itemize depreciation and
other business deductions by filing Schedule C-EZ,
Net Profit From Business, a simplified version of
Schedule C, Profit or Loss From Business. (Schedule C and Schedule C-EZ are the source of sole
proprietorship statistics.) For Tax Year 2004, taxpayers could use Schedule C-EZ if they: had business
expenses of $5,000 or less (this was $2,500 for
2003); used the cash accounting method; had no
inventories; did not report a deficit from the business;
had only one business as a sole proprietor; had no
employees; were not required to file Form 4562,
Depreciation and Amortization, for the business;
claimed no deduction for home business expenses;
and had no prior-year disallowed passive activity
losses from the business. Since taxpayers using
Schedule C-EZ did not itemize business deductions,
the detailed deductions in Table 2 are slightly understated and do not add to the totals.
Figure F presents the numbers and percentages
of nonfarm sole proprietorship returns filed on Schedule C-EZ by industrial sector. Approximately 3.7
million taxpayers filed Schedule C-EZ for Tax Year
9
Sole Proprietorship Returns, 2004
Figure C
Components of Nonfarm Sole Proprietorship
Business Deductions, Tax Years 2003 and 2004
[Money amounts are in millions of dollars]
Business deductions
2003
2004
Percentage
(1)
(2)
(3)
Business deductions, total ¹.............. 820,206,714
892,402,428
8.8
Cost of sales and operations, total.. 338,376,959
370,951,227
9.6
increase
10
Inventory, beginning of year..............
34,924,642
35,761,115
2.4
Cost of labor......................................
28,032,070
31,768,695
13.3
Purchases......................................... 218,445,328
238,922,503
9.4
Materials and supplies......................
46,554,634
53,267,879
14.4
Other costs........................................
47,331,624
50,186,705
6.0
Inventory, end of year.......................
36,911,339
Business expenses, total ¹................ 481,829,755
38,955,669
521,451,201
5.5
8.2
Advertising expenses........................
12,340,084
12,888,316
4.4
Car and truck expenses....................
53,466,645
58,980,274
10.3
Commissions....................................
13,502,446
13,267,025
-1.7
Contract labor...................................
16,977,798
24,686,741
45.4
Depletion...........................................
639,008
775,567
21.4
Depreciation ²....................................
41,754,963
42,900,776
2.7
Employee benefit programs..............
2,421,673
2,617,800
8.1
Home office business deductions ²...
7,047,483
7,807,037
10.8
27.3
Depreciation, Form 8829..............
858,891
1,093,415
Insurance..........................................
17,489,210
18,864,229
7.9
Legal and professional services.......
8,284,557
8,959,140
8.1
Meals and entertainment deducted...
5,524,213
5,997,824
8.6
Mortgage interest..............................
4,762,929
5,167,373
8.5
0.7
Other interest paid on business
indebtedness..................................
5,818,316
5,856,393
Office expenses................................
11,849,079
12,362,672
4.3
Pension and profit-sharing plans.......
1,182,019
1,202,228
1.7
3.0
Rent on machinery and equipment...
8,470,304
8,728,363
Rent on other business property.......
27,201,706
28,139,206
3.4
Repairs..............................................
13,221,220
14,762,464
11.7
Supplies............................................
25,507,159
27,302,886
7.0
Salaries and wages...........................
67,640,849
71,068,517
5.1
Taxes paid........................................
15,179,639
16,036,234
5.6
Travel................................................
9,313,708
10,317,557
10.8
Utilities..............................................
21,661,093
21,477,462
-0.8
Other business deductions................
89,092,512
98,293,189
10.3
¹ Includes returns with Schedule C-EZ attached. Because only a total is reported for
business deductions on Schedule C-EZ, the totals shown in the statistics exceed the sum
of the detailed deductions; the detailed deductions are, therefore, slightly understated.
² Depreciation claimed on Form 8829 is included in "home office business deductions"
and excluded from "depreciation" shown above.
NOTE: Detail may not add to totals because of rounding. Percentage increases were
calculated before rounding.
2004, representing a 25.2-percent increase from the
number filed for 2003. This large increase was
probably due to the raising of allowable expenses on
a Schedule C-EZ from $2,500 to $5,000. Of the
10
returns filed for 2004 in the administrative and support services sector (the largest filers of this schedule), taxpayers filed approximately 565 thousand
Schedule C-EZ returns, or 28.3 percent of the total
for that sector [9]. For 2004, business receipts from
Schedule C-EZ filers totaled $24.6 billion, or 2.2
percent of total business receipts reported. Business
deductions reported on Schedule C-EZ returns accounted for only 0.3 percent of total business deductions for all industries, or $3.0 billion of the total
$892.4 billion. Even in the administrative and support
services sector with its higher concentration of
Schedule C-EZ filers, deductions reported on the
Schedule C-EZ accounted for just 1.0 percent of that
sector’s total business deductions.
Profits and Losses
For 2004, nearly all of the principal industrial sectors
reported increased sole proprietorship profits (net
income less deficit). Figure B presents total profits
for all industries (in both current and constant dollars)
since 1988, while Figure G presents profits by
industrial sector for 2003 and 2004 [10]. Total profits
increased 7.5 percent from $230.3 billion for 2003 to
$247.6 billion for 2004. The wholesale trade sector
reported the largest percentage change in profits for
2004, increasing 18.3 percent to $5.1 billion. The real
estate and rental and leasing as well as the professional, scientific, and technical sector reported the
second largest percentage increase in profits with
9.2 percent.
In constant dollars, total profits increased 4.4
percent for 2004 (Figure B), the largest increase in
profits since 1998. Despite the significant increase in
total profits (in real terms), profits as a percentage of
business receipts went down for 2004. Figure H
displays net income less deficits as a percentage of
business receipts. For Tax Year 2004, profits as a
percentage of business receipts was 21.7 percent,
slightly below the 21.9 percent for 2003. Since 1987,
the highest percentage was for 1998 at 22.0 percent,
while the lowest was for 1988 at 18.8 percent. Figure E presents net income and deficit separately for
1988 through 2004, in current and constant dollars.
For 2004, net income (in constant dollars) increased
4.9 percent, and deficit (in constant dollars) increased
7.5 percent.
Sole Proprietorship Returns, 2004
Figure D
Nonfarm Sole Proprietorship Total Business Expenses, Tax Year 2004 ¹
Type of expenses
Office expenses
2.4
Advertising expenses
2.5
Commissions
2.5
Repairs
2.8
Taxes paid
3.1
Insurance
3.6
Utilities
4.1
Contract labor
4.7
Supplies
5.2
Rent paid on business property, machinery, and equipment
7.1
Depreciation ²
8.2
Car and truck expenses
11.3
Salaries and wages
13.6
Other business deductions ³
28.8
0
5
10
15
20
25
30
35
Percent of total
¹ Total business expenses equals all business deductions minus cost of sales and operations.
² Depreciation claimed on Form 8829 is included in "home office business deductions" and excluded from "depreciation" shown above.
³ Other business deductions includes: depletion; employee benefit programs; interest; legal and professional services; pension and profitsharing plans; travel, meals, and entertainment; and home office business deductions. Other business deductions also includes all Schedule CEZ deductions ($3.0 billion).
NOTES: Percents are based on an estimated total business expense of $521.5 billion. Detail may not add to 100 percent because of
rounding.
Industries
Using receipts as a measure of business size, Figures
A and I show that construction was the largest sole
proprietorship industrial sector for 2004, with 17.4
percent of all business receipts (surpassing the retail
trade sector which was largest for 2003). Total
receipts for the construction sector, at $198.4 billion,
were 12.8-percent higher than the $175.8 billion
reported for 2003, while deductions also increased by
13.9 percent, leading to a 7.4-percent increase in
profits. The second largest industrial sector was
retail trade, with receipts totaling $187.1 billion. This
amount was 16.4 percent of all sole proprietorship
receipts for 2004, and it represented a 5.7-percent
increase from the 2003 amount. Deductions also
increased in this sector by 5.9 percent. Retail trade
profits increased 2.0 percent for 2004, totaling
$8.1 billion.
The third largest sector was professional, scientific, and technical services, which accounted for 12.1
percent of sole proprietorship receipts for 2004.
Receipts increased 7.1 percent to $137.7 billion, and
deductions increased 5.8 percent to $80.9 billion.
Although this sector was the third largest sector in
terms of business receipts, the professional, scientific,
and technical services sector had the largest percent11
Sole Proprietorship Returns, 2004
Figure E
Nonfarm Sole Proprietorship Net Income, Deficit, and Depreciation, Tax Years 1988-2004
[Money amounts are in billions of dollars]
Constant dollars 1
Current dollars
Tax year
Net income
(1)
(2)
1988...........................
1989...........................
1990...........................
1991...........................
1992...........................
1993...........................
1994...........................
1995...........................
1996...........................
1997...........................
1998...........................
1999...........................
2000...........................
2001...........................
2002...........................
2003...........................
2004...........................
145.5
152.4
161.7
162.4
173.5
177.0
187.8
191.7
200.1
210.5
226.2
233.4
245.2
250.2
257.3
269.1
290.5
19.2
19.7
20.2
20.9
19.5
20.5
21.0
22.5
23.4
23.8
23.9
25.5
30.5
32.8
36.2
38.8
42.9
Deficit
Depreciation ²
Percentage increase in constant dollars 1
Net income
Deficit
Depreciation ²
Net income
Deficit
Depreciation ²
(3)
(4)
(5)
(6)
(7)
(8)
(9)
26.1
24.5
23.7
23.1
23.3
25.0
26.2
26.2
27.4
28.6
29.1
30.6
32.2
33.4
36.6
41.8
42.9
192.2
194.0
198.2
192.3
200.8
200.3
208.1
208.2
213.2
220.6
234.5
238.5
245.2
244.4
247.5
253.9
266.3
25.4
25.1
24.8
24.8
22.6
23.2
23.3
24.4
24.9
25.0
24.8
26.0
30.5
32.0
34.8
36.6
39.3
34.5
31.2
29.0
27.4
27.0
28.3
29.0
28.5
29.2
30.0
30.2
31.3
32.2
32.7
35.3
39.4
39.3
-0.9
2.2
-3.0
4.4
-0.3
3.9
(³)
2.4
3.4
6.3
1.7
2.8
-0.3
1.3
2.6
4.9
--1.1
-1.3
(³)
-8.8
2.8
0.3
4.8
2.1
0.3
-0.7
4.9
17.3
5.0
8.7
5.1
7.5
--9.6
-6.9
-5.8
-1.4
4.9
2.6
-1.9
2.4
2.9
0.7
3.7
2.8
1.4
8.0
11.7
-0.2
¹ Constant dollars are based on the overall implicit price deflator for gross domestic product computed and reported by the U.S. Department of Commerce, Bureau of Economic
Analysis, in the Survey of Current Business . The deflator represents the annual average of current-weighted prices, based on 2000 = 100.
² Excludes depreciation claimed on Form 8829, Expenses for Business Use of Your Home.
³ Less than 0.05 percent.
12
Figure F
Nonfarm Sole Proprietorship Returns with Schedule C-EZ, by Selected Industrial Sectors, Tax Year 2004
[Money amounts are in millions of dollars]
Number of returns
Total business receipts
With
Percentage
On
Percentage
Schedule
of
Schedule
of
C-EZ
total
C-EZ
total
(2)
(3)
(5)
(6)
Industrial sector
Total
(1)
All nonfarm industries................................. 20,590,691
Construction.....................................................
2,586,774
Total
(4)
Total business deductions ¹
On
Total
Percentage
Schedule
of
C-EZ
total
(7)
(8)
(9)
2,991.9
0.3
403.8
0.2
3,703,927
18.0
1,139,523.8
24,574.8
2.2
892,402.4
417,400
16.1
198,364.4
3,135.2
1.6
167,342.7
Wholesale trade (merchant wholesalers)........
350,824
51,572
14.7
40,849.6
442.4
1.1
35,735.4
35.4
0.1
Retail trade......................................................
2,399,442
238,773
10.0
187,076.7
1,018.0
0.5
179,018.0
160.2
0.1
Transportation and warehousing.....................
982,832
129,112
13.1
65,303.9
947.9
1.5
56,584.5
152.3
0.3
Finance and insurance.....................................
672,687
65,770
9.8
73,125.9
642.1
0.9
55,556.1
59.0
0.1
Real estate and rental and leasing..................
1,179,391
90,140
7.6
70,504.2
859.4
1.2
42,591.5
110.0
0.3
2,950,964
492,948
16.7
137,681.8
4,922.4
3.6
80,934.2
486.3
0.6
Professional, scientific, and
technical services.......................................
Administrative and support and waste
management and remediation services.........
1,994,817
564,644
28.3
49,986.8
3,342.1
6.7
35,935.7
365.9
1.0
Health care and social assistance..................
1,778,007
457,059
25.7
104,158.8
3,083.7
3.0
62,205.0
327.4
0.5
Arts, entertainment, and recreation..................
1,132,171
195,987
17.3
26,359.3
737.5
2.8
20,571.7
165.4
0.8
Other services..................................................
2,089,346
396,413
19.0
73,006.2
2,523.0
3.5
56,559.5
389.8
0.7
All other industries...........................................
2,473,436
604,109
24.4
113,106.0
2,921.3
2.6
99,368.1
336.3
0.3
¹ Total business deductions are calculated before subtraction of nonallowable "passive" activity losses and any "passive loss" carryover from prior years.
² Less than 0.05 percent.
NOTE: Certain smaller sole proprietorships could elect not to itemize business deductions by filing Schedule C-EZ, Net Profit from Business. See the text of this article for a
12
full list of the requirements to be eligible to file Schedule C-EZ.
Sole Proprietorship Returns, 2004
Figure G
age of sole proprietorship profits with 23.0 percent
(see Figure J). For 2004, the professional, scientific,
and technical services sector’s profits went from
$52.1 billion to $56.9 billion, a 9.2-percent increase
from 2003 profits. The sector with the second largest profits was health care and social assistance.
These profits rose to $42.0 billion for 2004, a 5.4percent increase from 2003 levels.
Tax Year 2001 is the first year in which data
became available on the number of Limited Liability
Companies (LLCs) among sole proprietorship returns. LLC entities have the limited liability of corporations, but are taxed as sole proprietorships--income
and expenses flow through to the owner to be taxed.
In 2001, there were approximately 126 thousand sole
proprietorship returns that indicated status as an LLC
(Figure K). This increased by 15.3 percent for 2002
and 51.2 percent for 2003. For Tax Year 2004, the
number of these sole proprietorships rose to approximately 310 thousand, a 40.4-percent increase from
2003 [11]. Though the 2004 level of LLCs among
sole proprietorship returns only counts for 1.5 percent
of the total nonfarm sole proprietorships, these numbers are growing fast.
Nonfarm Sole Proprietorship Profits, by Selected
Industrial Sectors, Tax Years 2003 and 2004
[Money amounts are in billions of dollars]
Net income less deficit (profits)
Industrial sector
Percentage
2003
2004
(1)
(2)
(3)
All nonfarm industries..................................
230.3
247.6
7.5
Construction........................................................
Specialty trade contractors..............................
28.9
22.9
31.0
24.5
7.4
7.3
Wholesale trade (merchant wholesalers)...........
Retail trade..........................................................
Transportation and warehousing.........................
Finance and insurance........................................
Real estate and rental and leasing.....................
Real estate......................................................
Professional, scientific, and technical services..
Administrative and support and waste
management and remediation services..........
Health care and social assistance......................
Child day care services....................................
Arts, entertainment, and recreation.....................
Performing arts, spectator sports, and
related industries.........................................
Other services.....................................................
4.3
7.9
8.2
16.3
25.5
25.6
52.1
5.1
8.1
8.8
17.6
27.9
27.9
56.9
18.3
2.0
6.6
8.2
9.2
9.3
9.2
13.0
39.8
3.5
5.5
14.1
42.0
3.6
5.8
8.2
5.4
3.0
6.2
5.2
16.0
5.5
16.5
4.8
3.2
Personal and laundry services........................
All other industries..............................................
9.8
12.8
10.6
13.9
8.1
8.7
increase
NOTE: Detail may not add to totals because of rounding. Percentage increases were
calculated before rounding.
Figure H
Net Income Less Deficit (Profits) as a Percentage of Business Receipts, Tax Years 1988-2004
Percent
23
22.0
21.9
22
21.4
21.1
20.9
21
21.5
21.5
21.4
21.7
21.0
20.7
21.0
21.0
19.9
20
19.4
19.2
19
18.8
18
1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
Tax year
13
Sole Proprietorship Returns, 2004
Figure I
Nonfarm Sole Proprietorship Total Business Receipts by Selected Industrial Sectors, Tax Year
2004
Arts, entertainment, and recreation
2.3
Wholesale trade (merchant wholesalers)
3.6
Administrative and support and waste management and
remediation services
4.4
Transportation and warehousing
5.7
Real estate and rental and leasing
6.2
Other services
6.4
Finance and insurance
6.4
Health care and social assistance
9.1
All other industries
14
9.8
Professional, scientific, and technical services
12.1
Retail trade
16.4
Construction
17.4
0
5
10
15
20
Percent of total
NOTES: Percents are based on an estimated total business receipts of $1,139.5 billion. Detail may not add to 100 percent because
of rounding.
Summary
Profits for the 20.6 million returns with sole proprietorship activity for Tax Year 2004 grew 7.5 percent
to a level of $247.6 billion. In constant dollars, total
nonfarm sole proprietorship profits increased 4.4
percent, the largest increase since 1998. The wholesale trade sector reported the largest percentage
growth in profits at 18.3 percent. The professional,
scientific, and technical services sector had the
14
largest profits of any sector at $56.9 billion, representing 23.0 percent of total sole proprietorship
profits, followed by the health care and social assistance sector at $42.0 billion, or 17.0 percent of total
profits. For all sole proprietorships, receipts and
deductions increased 8.5 percent and 8.8 percent,
respectively. The largest sole proprietorship industrial sector, based on business receipts was the
construction sector, accounting for 17.4 percent of
Sole Proprietorship Returns, 2004
Figure J
Nonfarm Sole Proprietorship Total Business Profits by Selected Industrial Sectors, Tax Year
2004
Wholesale trade (merchant wholesalers)
2.1
Arts, entertainment, and recreation
2.3
Retail trade
3.3
Transportation and warehousing
3.5
All other industries
5.6
Administrative and support and waste management and
remediation services
5.7
Other services
6.6
Finance and insurance
7.1
Real estate and rental and leasing
11.3
Construction
12.5
Health care and social assistance
17.0
Professional, scientific, and technical services
23.0
0
5
10
15
20
25
Percent of total
NOTES: Percents are based on an estimated total business profits of $247.6 billion. Detail may not add to 100 percent because of
rounding. Profits is a designation for "net income less deficit," shown elsewhere in this article.
receipts. This sector reported a 7.4-percent increase
in profits. The finance and insurance sector showed
the largest percentage increase in both receipts and
deductions, reporting a 13.6-percent increase in
receipts and a 15.5-percent increase in deductions.
Filings of Schedules C-EZ increased rapidly (25.1
percent) with the doubling of allowable expenses on
this form for 2004.
Data Sources and Limitations
The 2004 sole proprietorship estimates are based on
a stratified probability sample of unaudited Individual
Income Tax Returns, Form 1040 (including electronically-filed returns), processed by the Internal Revenue
Service during Calendar Year 2004. Returns in the
sample were stratified based on: (1) the presence or
absence of Schedule C, Profit or Loss From Business (Sole Proprietorship), or Schedule C-EZ, Net
Profit From Business, and Schedule F, Farm Income
and Expenses; (2) the larger of positive income or
negative income (i.e., “adjusted gross income” before
statutory adjustments); and (3) tax year. The returns
were selected at rates that ranged from 0.05 percent
to 100 percent. The 2004 nonfarm sole proprietorship data are based on a sample of 62,926 returns
and a population of 20,848,447 returns [11]. The
corresponding sample and population for the 2003
data were 55,935 and 19,987,964 returns, respectively.
15
Sole Proprietorship Returns, 2004
Figure K
Number of Nonfarm Sole Proprietorships Registered as Limited Liability Companies (LLCs), Tax
Years 2001-2004
Tax year
2004
309,665
2003
220,615
145,839
2002
2001
126,437
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
Number of LLCs
16
Since the data presented in this article are estimates based on a sample of returns filed, they are
subject to sampling error. To properly use the statistical data estimates provided, the magnitude of the
potential sampling error must be known; coefficients
of variation (CVs) are used to measure that magnitude. Figure L presents estimated coefficients of
variation for the number of returns and money
amounts for selected items and industrial sectors.
Generally, the smaller the coefficient of variation, the
more reliable the estimate is judged to be. The Appendix to this issue of the Bulletin discusses the
reliability of estimates based on samples, and the use
of coefficients of variation for evaluating the precision of estimates based on samples.
Notes and References
[1] For 2004, the 20,590,691 nonfarm sole proprietorship returns accounted for an estimated
22,886,863 nonfarm businesses. For purposes of
the statistics, if a proprietor owned more than
one business, the statistics for each business
were combined with those of the proprietor’s
dominant business and included in the industrial
16
group for that business activity. When this
occurred, the sum of net incomes (for businesses reporting a positive net income) reduced
by the sum of net deficits (for businesses
reporting a deficit) yielded the profits for a
specific industrial group.
The North American Industry Classification
System (NAICS) was used to classify data by
industries for 2004. These classifications were
applied on a “per business” (rather than on a
“per establishment”) basis for Statistics of
Income by combining various industry groups,
although businesses were further combined as
described above. While the wording of the
industry titles used for the sole proprietorship
statistics diverge somewhat from those appearing in NAICS, the definitions are consistent.
[2] Statistics for “business receipts, total” in Table 2
represent the total receipts of the business,
mainly gross receipts from sales and operations.
Business receipts also include miscellaneous
business receipts, such as incidental sales of
scrap, shown separately in the statistics as
“other business income.” However, business
Sole Proprietorship Returns, 2004
Figure L
Nonfarm Sole Proprietorships: Coefficients of Variation for Selected Items, by Selected Industrial
Sectors, Tax Year 2004
[Coefficients of variation are in percentages]
Coefficients of variation
Industrial sector
Total business
receipts
¹
(1)
Total business
deductions
Depreciation ²
Net income
Deficit
(2)
(3)
(4)
(5)
All nonfarm industries.....................................................................
0.64
0.71
1.35
0.91
1.72
Construction.........................................................................................
2.29
2.36
3.88
2.97
6.01
Speciality trade contractors.............................................................
2.80
2.89
4.60
3.51
7.46
Wholesale trade (merchant wholesalers)............................................
5.31
5.48
10.56
8.02
12.35
Retail trade..........................................................................................
2.30
2.27
4.19
3.86
4.49
Transportation and warehousing.........................................................
3.28
3.35
4.56
4.45
7.47
Finance and insurance.........................................................................
2.69
2.66
8.20
4.57
8.13
Real estate and rental and leasing......................................................
2.85
3.00
4.94
3.62
6.32
Real estate.......................................................................................
2.96
3.16
5.42
3.68
7.10
Professional, scientific, and technical services...................................
2.09
2.37
4.12
2.51
5.28
7.75
Administrative and support and waste management and
remediation services........................................................................
3.68
4.21
6.52
3.85
Health care and social assistance.......................................................
2.12
2.21
3.95
2.57
8.88
Child day care services...................................................................
5.86
7.10
11.97
6.11
18.11
Arts, entertainment, and recreation......................................................
4.27
4.26
6.42
5.92
6.05
Performing arts, spectator sports, and related industries................
4.82
4.67
7.68
6.44
6.81
Other services......................................................................................
3.22
3.48
5.55
3.92
7.47
Personal and laundry services.........................................................
3.97
4.29
8.43
5.00
9.90
All other industries...............................................................................
2.46
2.52
3.79
3.32
4.36
¹ Positive only.
² Excludes depreciation claimed on Form 8829.
receipts exclude incidental investment income
received through the business. Examples of
such incidental investment income are interest,
dividends, income or loss from rents or royalties,
and capital or ordinary gain or loss from the sale
of investment and business property. Sole
proprietors report incidental investment income,
in combination with nonbusiness related investment income, as part of their total incomes on
their individual income tax returns.
[3] Based on the overall implicit price deflator for
Gross Domestic Product (GDP). See U.S.
Department of Commerce, Bureau of Economic
Analysis, Survey of Current Business. Indices
used for this article were:
Year Indices
1988
75.7
1989
78.6
1990
81.6
Year Indices
1994
90.3
1995
92.1
1996
93.9
Year Indices
2000 100.0
2001 102.4
2002 103.9
1991
1992
1993
84.4
86.4
88.4
1997
1998
1999
95.4
96.5
97.9
2003
2004
106.0
109.1
[4] Sole proprietors report personal, i.e., nonbusiness, income and expense items apart from
business income or loss, which is reported on the
attached Schedule C, Profit or Loss From
Business (or, to a lesser extent, on Schedule CEZ, Net Profit From Business). Salaries paid
to owners qualify as personal income, not as a
business expense, and are, therefore, part of the
owner’s taxable income. Similarly, sole proprietors deduct charitable contributions made
through the business as personal expenses on
Schedule A, Itemized Deductions. However,
the owner of a sole proprietorship may choose
to deduct any foreign taxes paid as a business
expense, unless the owner elects to claim these
taxes as a credit against U.S. income tax.
17
Sole Proprietorship Returns, 2004
[5] Business deductions include home office business deductions. After 1990, home office
expenses were calculated separately on Form
8829, Expenses for Business Use of Your
Home, and the deductible portion brought
forward to the Schedule C. In some cases,
these expenses were limited. Prior to 1990,
these expenses were not limited and were
included with other expenses, such as depreciation deductions, utilities, and “other” expenses on
Schedule C.
18
[6] The increase in the depreciation deduction for
1993 may be attributed, in part, to a provision of
the Omnibus Budget Reconciliation Act of 1993
(OBRA93). The cost of certain tangible
property (as described in Internal Revenue Code
section 179) may be treated as a current expense rather than a capital expenditure subject
to depreciation deductions. The provision of
OBRA93 (related to these expenses) increased
the maximum amount of investment certain
small businesses could immediately deduct on
property placed in service after 1992, from
$10,000 to $17,500. Following the enactment of
this provision, the deduction increased 32.4
percent to $13.5 billion for 1993.
[7] Under the Jobs and Growth Tax Relief Reconciliation Act of 2003, the maximum amount of
Section 179 deduction (the amount of depreciable property that can be expensed for the
cost of certain qualifying property) increased
from $24,000 for 2002 to $100,000 for 2003 and
$102,000 for 2004. For all tax returns that filed
Form 4562, Depreciation and Amortization,
the Section 179 property deducted as an expense increased by 8.7 percent to $39.7 billion
for 2004. The Jobs Creation and Worker
18
Assistance Act of 2002 introduced 30-percent
bonus depreciation, and the Jobs and Growth
Tax Relief Reconciliation Act of 2003 increased
the bonus percentage to 50 percent, for property
placed in service by January 1, 2005. While
bonus depreciation was available to sole proprietors, it was generally not as advantageous as
immediate expensing and therefore likely had
less effect on their depreciation deductions.
[8] For 2004, there were $19.9 billion deducted as
Section 179 property on returns that had a
Schedule C. This number does not reflect
depreciation solely deducted on Schedule C as
this could also include depreciation taken on
Schedule E, Supplemental Income and Loss,
and Schedule F, Profit or Loss from Farming.
[9] Based on the NAICS system, the full name of
the administrative and support services sector is
the administrative and support and waste
management and remediation services sector.
The waste management and remediation
services portions make up a small percentage of
the overall numbers reported under this classification, which are detailed in Table 1.
[10] Net income minus deficit (loss) before Federal
income tax yields profits. Proprietors compute
their tax on total “taxable income,” which includes
their business profits, plus any other income.
[11] The difference between the number of returns
in the population and the total number of returns
in Tables 1 and 2 is mainly due to returns in which
Schedule C income was moved to other income
or wages to avoid double counting of taxpayers
for Gross Domestic Product calculations. In
addition, data from amended returns and tentative returns are not reflected in these statistics.
Sole Proprietorship Returns, 2004
Table 1.--Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net
Income, by Industrial Sectors Classified with the North American Industry Classification System
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Businesses with and without net income
Rent paid
Industrial sector
Business
Depreciation on machinery
of returns
receipts
deduction
1,2
and
equipment
(1)
(2)
All nonfarm industries................................................................ 20,590,691 1,139,523,760
281,915
15,878,032
Agriculture, forestry, hunting, and fishing...................................
35,273
1,462,902
Animal production (including breeding of cats and dogs).............
Forestry and logging
(including forest nurseries, timber tracts)....................................
Rent paid
Number
1
on other
Interest paid
business
deduction
property
1,3
Net income
Payroll
1,4
less deficit
1
(3)
(4)
(5)
43,994,191
1,669,142
196,715
8,728,363
161,583
30,717
28,139,206
191,813
35,243
(6)
(7)
(8)
11,023,767 102,837,211 247,567,189
244,989
1,480,454
660,369
37,846
87,449
-282,054
Fishing..........................................................................................
Hunting and trapping.....................................................................
Support activities for agriculture and forestry...............................
48,400
70,441
8,665
119,137
5,947,055
2,166,336
211,979
6,089,760
557,233
350,443
79,022
485,729
63,917
* 4,589
* 252
62,107
35,460
33,681
* 795
86,633
74,980
42,690
14,248
75,225
506,887
69,143
4,165
812,810
360,087
291,632
-67,714
358,419
Mining..............................................................................................
Oil and gas extraction...................................................................
Coal mining...................................................................................
Metal ore mining............................................................................
Nonmetallic mineral mining and quarrying....................................
Support activities for mining..........................................................
125,923
103,469
1,135
* 1,335
4,527
15,458
9,202,124
6,650,892
507,160
* 110,121
467,784
1,466,167
723,616
517,910
33,171
* 21,411
45,803
105,322
24,968
11,332
* 1,274
* 2,369
3,147
6,847
52,068
41,400
* 711
* 39
3,297
6,622
88,646
61,205
* 6,708
* 370
9,476
10,886
377,073
107,482
* 66,319
* 12,443
61,869
128,960
1,372,340
992,096
-20,424
* 15,679
71,173
313,817
Utilities............................................................................................
Construction...................................................................................
Residential building construction..................................................
Nonresidential building construction.............................................
Heavy and civil engineering construction ...................................
Specialty trade contractors...........................................................
11,795
2,586,774
374,490
80,950
47,320
2,084,014
308,232
198,364,423
46,626,584
9,541,450
7,508,085
134,688,305
23,832
8,032,625
1,306,249
276,377
598,615
5,851,383
* 10,090
1,378,644
213,176
62,918
176,561
925,989
* 5,311
1,044,355
134,396
27,218
27,441
855,300
* 9,673
1,364,121
329,870
71,521
148,328
814,402
* 8,443
26,964,195
5,495,273
1,145,922
586,424
19,736,577
41,922
31,038,488
4,913,506
932,519
654,918
24,537,546
Manufacturing.................................................................................
Food manufacturing......................................................................
Textile and textile product mills.....................................................
Apparel..........................................................................................
Leather and allied products...........................................................
351,204
29,074
4,551
29,678
* 3,838
25,824,798
3,449,144
316,682
1,585,687
* 99,464
1,145,102
79,700
* 12,537
39,339
* 2,941
185,809
4,452
* 2,016
8,584
--
800,530
150,973
* 1,119
63,671
* 120
282,152
23,977
* 3,602
11,182
* 213
3,410,268
339,003
* 37,890
167,305
* 1,276
3,018,241
180,805
44,382
313,302
* 1,629
Wood products..............................................................................
Paper products..............................................................................
Printing and related support activities...........................................
Petroleum and coal products........................................................
Chemical manufacturing...............................................................
Plastics, rubber, clay, refractory, and glass products...................
Nonmetallic mineral products........................................................
Primary metal industries................................................................
Fabricated metal products.............................................................
Machinery......................................................................................
Computer and electronic products................................................
Electrical equipment, appliances, and components......................
Transportation equipment.............................................................
Furniture and related products......................................................
Medical equipment and supplies...................................................
Other miscellaneous manufacturing..............................................
51,401
* 18
38,532
* 407
11,169
18,696
8,578
* 5,133
35,016
24,222
8,370
5,665
10,288
28,287
3,864
34,417
3,232,481
* 27,629
2,563,190
* 130,793
497,290
746,391
992,138
* 162,506
3,574,350
2,661,245
230,494
551,221
955,764
1,917,331
448,767
1,682,231
156,759
* 2,783
81,536
* 727
21,701
53,363
47,024
* 20,298
244,734
184,319
9,506
11,183
16,624
75,849
* 4,275
79,903
27,163
* 693
35,670
* 17
* 2,452
* 1,416
* 6,714
* 23
51,698
2,927
*4
* 662
* 18,970
10,448
* 3,816
8,084
67,416
* 258
144,532
* 20
* 4,926
32,315
* 5,300
* 162
78,453
63,550
* 6,443
12,966
21,605
85,564
* 20,354
40,782
33,793
* 420
23,357
* 26
* 2,462
20,213
9,477
* 2,340
43,538
25,711
* 611
* 5,459
36,145
13,813
* 1,139
24,672
523,968
* 4,268
341,146
* 1,411
* 33,454
104,815
172,281
* 579
585,232
413,157
* 8,253
63,786
104,964
163,699
* 29,779
314,004
348,726
* -709
199,361
* 6,093
58,692
68,035
92,249
* 40,598
312,585
415,265
71,908
69,363
36,531
432,369
158,137
168,919
Wholesale trade (merchant wholesalers).....................................
Durable goods, including machinery, wood, metals, etc...............
Nondurable goods, including food, fiber, chemicals, etc...............
Wholesale electronic markets and agents and brokers................
350,824
149,399
118,760
82,665
40,849,558
18,307,028
16,338,556
6,203,974
598,001
306,032
191,979
99,990
139,742
78,142
52,577
9,024
434,172
223,059
164,408
46,704
204,294
89,997
99,082
15,215
1,273,027
547,124
638,846
87,057
5,128,810
2,008,014
1,428,062
1,692,734
Retail trade......................................................................................
Motor vehicle and parts dealers....................................................
Furniture and home furnishing stores...........................................
Electronic and appliance stores....................................................
Building material and garden equipment and supplies dealers....
Food and beverage stores............................................................
Health and personal care stores...................................................
Gasoline stations..........................................................................
Clothing and accessories stores...................................................
2,399,442
158,658
55,791
44,865
50,761
85,108
156,954
20,851
120,231
187,076,742
37,368,327
6,345,917
4,883,913
9,107,146
26,133,236
9,763,099
22,544,731
11,868,512
3,137,131
383,744
103,138
126,071
185,646
276,708
190,165
267,504
162,874
784,146
76,427
19,779
15,405
28,541
66,211
71,324
48,229
95,367
5,707,590
395,909
326,574
240,386
137,764
735,749
268,526
290,877
919,601
1,512,244
290,415
59,254
35,160
95,268
112,431
42,267
167,009
80,068
11,274,485
1,708,524
531,515
569,537
956,486
1,725,492
768,658
779,287
884,291
8,101,744
1,307,471
477,484
320,731
615,612
1,012,664
512,215
274,447
934,908
Sporting goods, hobby, book, and music stores...........................
General merchandise stores.........................................................
133,070
34,661
7,479,548
5,388,473
171,461
72,038
24,257
6,342
386,629
201,128
84,617
45,421
451,685
349,470
217,403
183,609
Miscellaneous store retailers........................................................
551,143
28,161,353
725,716
253,735
1,391,168
302,167
1,770,561
1,624,375
Nonstore retailers..........................................................................
Footnotes at end of table.
987,350
18,032,484
472,065
78,529
413,280
198,167
778,977
620,825
19
Sole Proprietorship Returns, 2004
Table 1.--Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net
Income, by Industrial Sectors Classified with the North American Industry Classification System
--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Businesses with and without net income
Rent paid
Industrial sector
Transportation and warehousing.........................................................
Air and rail transportation.....................................................................
Water transportation.............................................................................
General freight trucking, local...............................................................
20
20
Rent paid
Number
Business
Depreciation on machinery
on other
Interest paid
of returns
receipts
deduction 1,2
and
business
deduction 1,3
equipment 1
property 1
Net income
Payroll 1,4
less deficit
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
982,832
15,824
5,606
216,673
65,303,903
970,991
377,275
18,221,665
5,539,440
328,036
27,838
1,490,437
1,828,319
10,163
* 63
294,684
640,671
22,748
11,298
103,423
906,945
54,203
2,605
209,736
4,292,880
41,612
4,517
2,043,744
8,756,499
-271,833
152,804
2,319,481
General freight trucking, long-distance
and specialized freight trucking.........................................................
Urban transit.........................................................................................
Interurban and rural bus transportation................................................
Taxi and limousine service...................................................................
School, employee, and charter bus industry.........................................
Other transit and ground passenger transportation..............................
Pipeline transportation..........................................................................
Scenic and sightseeing transportation..................................................
Support activities for transportation
(including motor vehicle towing).......................................................
Couriers and messengers.....................................................................
Warehousing and storage facilities......................................................
305,173
*8
* 1,946
132,510
23,218
24,556
-2,875
31,598,902
* 7,076
* 79,362
3,906,844
824,329
1,105,269
-102,087
2,972,169
-* 9,294
114,431
87,751
49,442
-33,458
907,980
-* 6,637
459,295
* 26,294
* 13,949
-* 4,334
184,357
--113,051
* 3,264
* 20,211
-* 4,418
506,068
--38,978
27,196
* 11,333
-11,635
1,385,060
* 4,873
* 10,800
79,752
61,948
* 211,961
-* 1,749
3,370,129
* -1,027
* 7,908
1,081,961
235,821
163,559
--47,131
37,500
208,050
8,893
2,164,631
5,428,770
516,701
185,587
168,564
72,434
19,193
82,581
3,147
112,470
32,616
32,814
21,825
13,503
9,864
216,094
187,018
43,749
292,535
1,408,386
43,907
Information.............................................................................................
Publishing industries (except internet)..................................................
Motion picture and sound recording.....................................................
Broadcasting (except internet) and telecommunications......................
Internet publishing and broadcasting....................................................
Internet service providers, web search portals, and data processing...
295,031
91,795
64,025
44,285
24,636
70,289
8,044,330
2,405,480
1,954,105
1,692,541
345,060
1,647,144
441,967
65,626
257,644
87,126
4,211
27,360
80,003
13,960
55,666
3,422
* 5,292
1,663
242,063
24,575
147,937
54,037
* 851
14,663
68,264
17,303
15,826
25,491
* 5,527
4,117
719,281
177,608
113,930
222,155
* 12,846
192,743
1,901,666
673,220
127,482
280,667
141,102
679,195
Finance and insurance..........................................................................
Credit intermediation and related activities...........................................
672,687
100,590
73,125,906
5,354,120
1,332,606
225,624
290,373
20,313
1,399,366
144,833
621,998
120,779
3,915,629
267,382
17,598,689
1,441,206
Securities, commodity contracts, and other financial investments........
Investment bankers and securities dealers........................................
Securities brokers...............................................................................
Commodity contracts brokers and dealers.........................................
Securities and commodity exchanges.................................................
Other financial investment activities (investment advice)...................
Insurance agents, brokers, and related activities.................................
Insurance agencies and brokerages...................................................
Other insurance related activities.......................................................
154,797
7,654
18,323
10,396
605
117,818
417,301
321,451
95,850
38,721,972
2,218,751
4,952,584
727,299
1,240,237
29,583,101
29,049,814
24,897,407
4,152,407
304,813
8,509
34,720
12,554
1,225
247,806
802,169
675,048
127,121
103,921
6,763
43,887
* 2,713
-50,558
166,140
149,058
17,081
387,119
12,296
41,396
39,004
* 621
293,802
867,414
800,557
66,857
298,767
9,172
28,951
5,525
1,279
253,840
202,452
169,697
32,755
1,108,358
36,840
176,483
30,115
* 1,840
863,081
2,539,889
2,463,075
76,814
4,196,085
511,954
1,022,002
-45,928
-43,974
2,752,031
11,961,398
10,129,012
1,832,386
Real estate and rental and leasing....................................................... 1,179,391
Real estate............................................................................................ 1,113,911
Lessors of real estate
(including miniwarehouses and self storage)....................................
38,277
Offices of real estate agents, brokers,
property managers, and appraisers..................................................
880,577
Other activities related to real estate..................................................
195,057
Rental and leasing services..................................................................
65,479
Automotive equipment rental and leasing...........................................
12,623
Consumer electronics and appliances rental......................................
* 352
Formal wear and costume rental........................................................
* 2,408
Video tape and disc rental..................................................................
7,939
General rental centers and other consumer goods rental..................
16,679
Commercial and industrial machinery
and equipment rental and leasing.....................................................
25,479
70,504,236
66,553,847
3,874,335
2,629,771
494,374
421,889
1,176,160
1,014,109
1,237,175
1,069,617
1,941,274
1,639,014
27,906,990
27,943,474
2,191,958
229,066
23,744
85,181
301,750
128,525
218,955
51,239,559
13,122,330
3,950,389
526,696
* 83,869
* 42,479
569,876
759,490
1,959,354
441,352
1,244,564
202,142
* 5,456
* 2,150
55,534
105,886
353,151
44,994
72,485
* 13,678
* 243
* 46
* 3,402
18,114
799,480
129,448
162,051
8,365
* 13,681
* 2,694
89,854
18,874
360,447
407,419
167,558
21,360
* 702
*5
17,520
18,511
1,162,232
348,257
302,260
19,910
* 35,940
* 6,121
63,937
66,330
24,150,911
3,573,608
-36,484
9,427
* -7,931
* 11,251
20,175
-13,915
1,967,980
873,396
37,001
28,583
109,460
110,022
-55,492
Professional, scientific, and technical services.................................. 2,950,964
Legal services.......................................................................................
352,504
Office of certified public accountants....................................................
55,696
Other accounting services....................................................................
351,845
Architectural, engineering, and related services................................... 290,762
Architectural services..........................................................................
99,930
Engineering services..........................................................................
99,262
137,681,834
35,245,418
3,471,238
7,780,208
14,172,954
6,249,719
5,740,327
4,637,792
720,607
113,011
314,423
559,134
254,389
191,339
850,710
205,575
17,139
51,656
79,056
38,436
29,239
3,394,650
1,473,641
188,581
195,644
217,484
107,912
68,829
927,546
209,113
28,809
112,302
87,285
43,259
34,842
11,229,728
3,978,112
563,847
795,138
1,706,862
868,098
609,348
56,861,810
16,048,668
1,304,100
3,028,344
4,156,847
1,521,083
1,858,477
Drafting, building inspections, and geophysical surveying.................
66,619
1,251,984
43,677
* 3,280
24,969
* 4,070
106,907
475,766
Surveying and mapping (except geophysical) services......................
Testing laboratories............................................................................
Footnotes at end of table.
22,656
2,295
799,849
131,075
57,886
* 11,843
* 6,279
* 1,821
9,723
* 6,051
* 3,235
* 1,879
94,904
* 27,605
270,575
30,946
Sole Proprietorship Returns, 2004
Table 1.--Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net
Income, by Industrial Sectors Classified with the North American Industry Classification System
--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Businesses with and without net income
Rent paid
Industrial sector
Rent paid
Number
Business
Depreciation on machinery
of returns
receipts
deduction
1,2
and
equipment
1
on other
Interest paid
business
deduction
property
1,3
Net income
Payroll
1,4
less deficit
1
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
217,654
255,947
7,361,378
8,816,742
290,744
376,350
31,981
61,631
111,720
98,659
38,495
53,142
312,399
316,254
1,976,455
4,727,399
1,426,556
735,232
28,188
137,802
40,527
484,808
60,833,895
31,394,764
1,013,759
6,212,967
1,180,626
21,031,781
2,263,524
1,061,518
45,779
155,824
39,633
960,770
403,672
170,119
2,084
27,156
10,557
193,756
1,108,921
383,391
11,596
132,142
25,672
556,121
398,400
192,816
4,057
30,395
3,255
167,878
3,557,117
1,340,983
69,454
239,379
84,422
1,822,878
25,619,996
16,062,373
497,151
2,032,110
400,948
6,627,415
1,994,817
1,962,607
32,210
473,778
1,778,007
867,154
183,041
35,087
92,024
37,158
12,662
175,642
9,127
49,986,835
47,848,873
2,137,961
6,926,461
104,158,816
87,670,394
30,856,608
2,859,686
29,269,421
4,426,015
2,892,474
7,493,224
1,186,771
2,521,071
2,317,657
203,414
332,491
3,144,642
2,542,630
625,287
63,792
1,090,504
168,444
139,182
191,774
20,203
451,614
403,325
48,289
35,240
574,507
482,104
180,715
15,535
123,800
59,545
10,252
61,289
10,502
608,086
588,761
19,325
414,450
4,259,913
3,795,910
1,194,327
184,245
1,078,893
314,931
169,376
448,312
113,951
394,303
358,125
36,179
64,154
1,029,938
651,108
132,195
7,279
317,670
58,924
24,481
46,667
4,249
5,217,819
5,062,278
155,541
436,208
14,701,921
13,004,899
3,982,558
210,069
6,409,817
500,638
526,004
419,570
121,647
14,074,703
13,869,633
205,070
2,455,538
41,963,329
36,691,252
14,505,727
1,524,436
10,082,600
1,742,985
737,340
3,950,018
466,846
105,666
22,127
166,920
3,596,663
1,616,631
2,766,603
103,197
63,821
64,346
11,035
3,829
3,724
193,160
41,519
26,579
7,984
22,406
25,479
215,136
241,829
307,625
1,669,438
578,110
1,142,637
27,701
11,556
55,771
149,411
694,116
706,298
449,632
3,558,970
2,490,455
9,989,364
12,080
12,077
145,589
77,332
367,015
* 1,878
* 1,263
12,940
8,607
69,592
30,616
* 7,309
145,733
131,139
179,823
* 3,774
* 2,567
199,160
49,665
127,438
70,008
* 52,661
901,463
203,914
538,984
291,113
225,583
396,212
1,089,198
3,561,084
Arts, entertainment, and recreation............................................... 1,132,171
Performing arts, spectator sports, and related industries..............
963,514
Museums, historical sites, and similar institutions.........................
* 3,035
Amusement, gambling, and recreation industries..........................
165,621
26,359,320
19,310,715
* 74,365
6,974,240
1,775,313
1,268,420
* 1,731
505,162
174,572
101,094
-73,478
828,264
441,944
-386,320
253,500
150,539
* 158
102,804
1,321,054
726,269
-594,785
5,792,899
5,466,714
* 43,101
283,084
Accommodation, food services, and drinking places.................
Accommodation.............................................................................
Travel accommodation
(including hotels, motels, and bed and breakfast inns)..............
RV (recreational vehicle) parks and recreational camps.............
Rooming and boarding houses....................................................
Food services and drinking places................................................
383,770
48,805
39,720,751
4,807,254
1,715,793
557,429
278,651
30,715
2,406,618
104,703
889,159
476,092
7,054,580
651,219
1,391,146
8,822
30,236
10,256
8,314
334,965
3,797,085
605,999
404,170
34,913,497
419,083
90,421
47,926
1,158,364
24,240
4,495
1,980
247,936
79,885
21,959
* 2,859
2,301,915
363,772
76,530
35,790
413,067
568,756
24,278
58,184
6,403,361
92,686
-29,282
-54,583
1,382,324
Other services................................................................................. 2,089,346
Auto repair and maintenance.........................................................
344,689
Automotive mechanical and electrical repair and maintenance...
179,170
Automotive body shops................................................................
95,334
Other auto repair and maintenance
(including oil change, lubrication, and car washes)...................
70,186
Miscellaneous repairs....................................................................
405,970
Personal and laundry services....................................................... 1,338,687
73,006,151
24,419,559
11,649,920
8,395,054
3,113,737
1,145,520
472,405
413,331
947,472
227,408
108,645
75,757
4,458,533
837,953
400,088
260,015
872,891
358,419
143,635
125,531
7,070,915
3,045,612
1,578,647
905,495
16,457,988
2,930,959
1,356,007
1,205,974
4,374,585
14,994,662
33,591,931
259,784
612,207
1,356,010
43,005
152,436
567,628
177,850
381,421
3,239,159
89,254
196,913
317,559
561,469
1,252,775
2,772,528
368,978
2,948,041
10,578,988
3,635,138
3,566,169
56,853
178,702
11,860
25,686
40,206
34,386
* 12,318
39,458
* 49,885
98,091
1,681,245
1,362,773
Professional, scientific, and technical service
--Continued
Specialized design services...........................................................
Computer systems design services...............................................
Other professional, scientific, and technical services....................
Management, scientific, and technical consulting services.........
Scientific research and development services.............................
Advertising and related services..................................................
Market research and public opinion polling.................................
Other miscellaneous services......................................................
Administrative and support and waste management
and remediation services.............................................................
Administrative and support services..............................................
Waste management and remediation services..............................
Educational services......................................................................
Health care and social assistance.................................................
Ambulatory health care services....................................................
Offices of physicians (except mental health specialists)..............
Offices of physicians, mental health specialists...........................
Offices of dentists........................................................................
Offices of chiropractors................................................................
Offices of optometrists.................................................................
Offices of mental health practitioners and social therapists........
Offices of podiatrists....................................................................
Outpatient care centers and
other miscellaneous health practitioners...................................
Medical and diagnostic laboratories............................................
Home health care services..........................................................
Other ambulatory health care services
(including ambulance services, blood and organ banks)...........
Hospitals........................................................................................
Nursing and residential care facilities............................................
Social assistance...........................................................................
Child day care services..................................................................
Religious, grantmaking, civic, professional
and similar organizations............................................................
Unclassified establishments..........................................................
Footnotes at end of table.
265,620
284,398
21
Sole Proprietorship Returns, 2004
Table 1.--Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net
Income, by Industrial Sectors Classified with the North American Industry Classification System
--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Businesses with net income
Rent paid
Industrial sector
Rent paid
Number
Business
Depreciation on machinery
of returns
receipts
deduction
1,2
and
equipment
(9)
1
on other
Interest paid
business
deduction
property
1,3
Payroll
1,4
Net income
1
(10)
(11)
(12)
(13)
(14)
971,377,184
29,362,885
6,839,094
21,976,979
6,648,429
169,072
11,802
12,203,678
1,185,643
875,157
59,300
91,956
* 2,857
109,266
26,529
138,511
21,097
1,130,204
* 76,560
2,308,533
207,116
Fishing..........................................................................................
Hunting and trapping....................................................................
Support activities for agriculture and forestry...............................
28,058
47,819
5,795
75,599
4,475,983
1,662,031
131,585
4,748,437
372,547
182,488
* 11,195
249,626
45,785
* 1,509
-41,805
13,261
20,711
-48,765
43,654
21,591
* 5,197
46,972
361,769
* 43,941
* 36
647,898
578,150
574,269
28,970
920,030
Mining.............................................................................................
Oil and gas extraction...................................................................
Coal mining...................................................................................
Metal ore mining...........................................................................
98,943
82,834
* 1,051
* 354
7,275,659
5,353,963
* 77,068
* 109,798
437,892
300,864
* 2,441
* 21,319
17,372
7,237
* 42
* 1,605
42,615
34,614
* 330
* 16
52,338
34,249
* 178
* 370
247,399
62,960
* 9,826
* 12,227
2,080,574
1,624,615
* 17,971
* 18,057
Nonmetallic mineral mining and quarrying...................................
Support activities for mining.........................................................
2,508
12,196
389,079
1,345,751
32,962
80,306
* 2,399
6,088
* 1,389
6,266
7,228
10,313
50,516
111,870
81,668
338,264
Utilities............................................................................................
Construction...................................................................................
Residential building construction..................................................
Nonresidential building construction............................................
9,146
2,127,410
302,012
63,983
251,675
174,956,534
40,918,175
7,774,489
* 12,391
6,195,445
1,059,927
193,599
* 1,623
1,113,350
168,675
46,124
* 2,792
860,074
109,488
25,148
* 451
985,755
233,445
38,270
* 8,228
22,621,722
4,658,313
922,475
99,146
35,130,228
5,741,610
1,220,989
Heavy and civil engineering construction ...................................
Specialty trade contractors...........................................................
37,124
1,724,291
6,180,477
120,083,392
504,161
4,437,758
162,398
736,153
19,755
705,683
106,255
607,785
471,730
16,569,204
880,302
27,287,328
Manufacturing................................................................................
Food manufacturing......................................................................
Textile and textile product mills....................................................
Apparel.........................................................................................
Leather and allied products..........................................................
224,199
20,124
* 2,524
17,677
* 1,850
21,979,899
2,974,797
* 256,523
1,435,185
* 97,537
824,575
48,577
* 10,775
23,537
*7
129,652
2,617
* 795
* 8,560
--
600,827
118,440
-32,397
* 120
184,553
10,965
* 2,902
* 5,067
* 213
2,770,917
253,155
* 18,890
153,886
* 1,276
3,980,453
294,382
* 66,763
378,246
* 8,919
Wood products.............................................................................
Paper products.............................................................................
Printing and related support activities..........................................
35,298
*7
23,862
2,893,226
* 23,155
2,072,384
107,019
* 1,147
53,568
25,633
* 693
22,284
55,715
* 258
100,850
26,892
* 331
18,172
500,228
* 3,825
251,535
424,441
* 272
318,381
Petroleum and coal products........................................................
Chemical manufacturing...............................................................
Plastics, rubber, clay, refractory, and glass products...................
* 393
5,160
13,482
* 130,570
404,583
609,210
* 626
18,900
21,206
* 17
* 2,452
* 496
* 20
* 4,198
* 26,167
* 26
* 1,651
* 12,114
* 1,411
* 30,433
* 93,477
* 6,596
85,743
121,486
Nonmetallic mineral products.......................................................
Primary metal industries...............................................................
Fabricated metal products............................................................
6,904
* 3,851
20,462
717,978
* 158,756
2,820,617
37,579
* 17,103
199,698
* 5,410
* 23
31,023
* 1,915
* 162
40,443
* 3,610
* 481
27,793
104,026
* 579
471,180
101,850
* 45,427
455,896
Machinery.....................................................................................
Computer and electronic products................................................
Electrical equipment, appliances, and components.....................
19,131
* 2,761
4,328
2,406,330
* 207,516
504,764
141,596
* 2,134
9,034
2,383
-* 239
50,198
* 5,918
* 10,504
19,003
* 387
* 4,716
376,175
* 4,019
* 48,147
461,357
* 122,184
105,486
Transportation equipment.............................................................
Furniture and related products.....................................................
Medical equipment and supplies..................................................
4,400
20,314
3,852
633,854
1,750,824
443,802
* 9,854
57,438
* 3,884
* 18,935
* 1,624
* 3,809
* 17,793
83,944
* 20,001
* 15,490
12,551
* 1,007
* 28,950
154,426
* 27,190
95,955
467,551
160,417
Other miscellaneous manufacturing.............................................
Wholesale trade (merchant wholesalers)....................................
Durable goods, including machinery, wood, metals, etc...............
17,820
235,915
88,536
1,438,288
35,783,987
16,787,457
60,894
397,381
214,924
* 2,657
115,956
62,391
31,784
313,215
173,343
21,182
146,929
65,873
248,110
1,005,268
464,343
259,099
6,070,740
2,402,728
Nondurable goods, including food, fiber, chemicals, etc..............
Wholesale electronic markets and agents and brokers................
86,462
60,917
13,280,104
5,716,426
107,414
75,043
45,856
7,709
109,213
30,659
69,128
11,928
464,183
76,742
1,822,211
1,845,801
Retail trade.....................................................................................
Motor vehicle and parts dealers...................................................
Furniture and home furnishing stores...........................................
Electronic and appliance stores...................................................
Building material and garden equipment and supplies dealers....
1,203,794
112,012
31,781
27,747
36,017
149,998,167
31,096,834
5,286,450
4,382,867
7,224,426
1,813,784
269,181
80,257
112,540
132,537
514,288
60,454
17,886
13,082
16,895
3,982,267
276,637
234,919
192,254
109,339
843,138
182,611
50,542
24,248
68,648
8,751,547
1,442,753
415,662
505,370
700,475
15,672,409
1,844,493
733,814
483,389
876,775
Food and beverage stores............................................................
Health and personal care stores...................................................
Gasoline stations..........................................................................
61,963
55,600
14,055
23,750,297
8,681,185
16,610,552
218,513
100,849
161,606
57,906
64,187
34,425
618,074
193,041
226,211
78,626
30,142
107,110
1,552,139
719,962
514,973
1,365,979
1,038,328
432,009
Clothing and accessories stores...................................................
Sporting goods, hobby, book, and music stores...........................
General merchandise stores........................................................
70,967
64,205
23,656
9,752,412
5,027,062
4,197,939
100,812
79,352
32,832
72,708
11,766
4,222
724,730
234,932
145,187
50,886
42,821
22,678
714,553
244,735
269,146
1,394,513
697,063
348,427
Miscellaneous store retailers........................................................
268,485
20,836,053
316,023
112,000
802,292
117,264
1,177,316
3,525,283
Nonstore retailers.........................................................................
Footnotes at end of table.
437,307
13,152,090
209,283
48,756
224,652
67,563
494,463
2,932,335
All nonfarm industries................................................................ 15,053,252
Agriculture, forestry, hunting, and fishing..................................
Animal production (including breeding of cats and dogs).............
(15)
(16)
83,455,835 290,486,159
Forestry and logging
(including forest nurseries, timber tracts)...................................
22
22
Sole Proprietorship Returns, 2004
Table 1.--Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net
Income, by Industrial Sectors Classified with the North American Industry Classification System
--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Businesses with net income
Rent paid
Industrial sector
Rent paid
Number
Business
Depreciation on machinery
on other
Interest paid
of returns
receipts
deduction 1,2
and
business
deduction 1,3
equipment 1
property 1
Payroll 1,4
Net income
(9)
(10)
(11)
(12)
(13)
(14)
(15)
(16)
801,855
10,124
2,279
169,596
53,661,944
386,707
287,902
14,312,066
3,608,928
22,480
* 7,218
979,916
1,525,014
* 3,011
*4
255,931
491,327
* 7,970
* 11,020
75,643
600,200
7,118
* 553
142,387
2,757,661
* 11,929
* 3,719
1,224,249
10,981,020
87,896
199,147
2,930,162
240,916
-* 1,946
116,848
20,909
18,343
-* 1,231
25,999,235
-* 79,362
3,378,867
670,329
1,037,321
-* 55,457
2,113,660
-* 9,294
100,666
39,047
* 22,309
-* 1,968
732,234
-* 6,637
422,563
* 6,941
* 3,610
-* 58
138,364
--90,755
* 2,753
* 19,873
-*2
356,664
--34,026
18,794
* 8,060
-* 1,892
840,319
-* 10,800
* 41,272
* 39,967
* 211,961
-*4
4,101,740
-* 7,908
1,174,729
279,101
209,229
-* 26,868
31,176
180,923
7,565
1,945,094
5,165,310
344,293
141,501
148,590
22,278
13,730
79,283
* 1,012
102,720
32,071
* 10,158
17,023
11,866
* 1,818
173,586
184,124
* 15,731
337,287
1,517,639
109,313
Information...........................................................................................
Publishing industries (except internet)...............................................
Motion picture and sound recording...................................................
Broadcasting (except internet) and telecommunications....................
Internet publishing and broadcasting.................................................
Internet service providers, web search portals,and data processing.
195,125
65,773
34,637
31,592
15,823
47,299
6,979,492
2,088,071
1,595,438
1,471,265
313,502
1,511,217
225,021
44,490
105,865
54,493
* 3,121
17,053
54,453
11,079
40,735
* 1,815
* 12
811
112,463
20,543
44,955
42,475
* 192
4,299
25,363
10,570
8,139
* 2,665
* 151
3,839
512,066
105,442
87,506
162,142
* 2,948
154,027
3,024,488
943,862
614,601
443,451
184,697
837,878
Finance and insurance........................................................................
Credit intermediation and related activities........................................
469,714
79,258
49,765,512
4,887,670
941,927
113,774
259,079
17,802
1,216,272
112,775
349,366
50,061
3,442,906
237,590
19,913,216
1,741,384
Securities, commodity contracts, and other financial investments.....
Investment bankers and securities dealers......................................
Securities brokers.............................................................................
Commodity contracts brokers and dealers.......................................
Securities and commodity exchanges..............................................
Other financial investment activities (investment advice).................
Insurance agents, brokers, and related activities...............................
Insurance agencies and brokerages................................................
Other insurance related activities.....................................................
88,644
3,878
12,309
2,928
* 18
69,511
301,812
229,432
72,379
17,842,789
885,263
2,974,186
370,441
* 224,349
13,388,551
27,035,053
23,175,424
3,859,629
187,073
7,537
25,953
2,711
* 384
150,488
641,080
569,471
71,609
86,077
6,723
43,449
* 16
-35,889
155,200
138,127
17,072
295,232
11,229
38,536
31,692
* 290
213,485
808,266
748,672
59,594
123,837
* 2,691
24,440
* 657
*7
96,041
175,468
143,878
31,590
770,595
25,982
134,495
* 8,250
* 75
601,793
2,434,721
2,360,056
74,665
5,433,611
570,757
1,107,284
168,865
* 1,593
3,585,112
12,738,222
10,744,526
1,993,696
Real estate and rental and leasing.....................................................
Real estate.........................................................................................
Lessors of real estate
(including miniwarehouses and self storage).................................
Offices of real estate agents, brokers,
property managers, and appraisers...............................................
Other activities related to real estate................................................
Rental and leasing services...............................................................
Automotive equipment rental and leasing........................................
Consumer electronics and appliances rental...................................
Formal wear and costume rental......................................................
Video tape and disc rental................................................................
General rental centers and other consumer goods rental................
Commercial and industrial machinery
and equipment rental and leasing..................................................
840,003
802,223
63,625,097
60,885,984
2,319,943
1,858,565
400,145
343,965
930,680
822,986
530,983
468,003
1,507,800
1,316,214
31,090,576
30,504,507
23,102
1,533,765
78,940
22,598
50,889
114,017
57,822
454,579
642,935
136,186
37,780
8,801
*3
* 2,408
4,159
6,747
48,048,447
11,303,773
2,739,113
377,419
* 99
* 42,479
420,416
644,613
1,520,908
258,717
461,378
61,785
* 42
* 2,150
48,238
67,474
286,491
34,876
56,180
* 11,425
-* 46
* 742
* 13,497
666,290
105,807
107,694
* 5,261
-* 2,694
61,706
* 15,955
209,999
143,986
62,980
8,648
-*5
5,912
8,012
993,543
264,849
191,586
* 12,764
-* 6,121
* 36,529
* 57,333
25,752,325
4,297,604
586,069
84,852
* 51
* 11,251
67,595
106,880
Transportation and warehousing.......................................................
Air and rail transportation...................................................................
Water transportation...........................................................................
General freight trucking, local............................................................
General freight trucking, long-distance
and specialized freight trucking........................................................
Urban transit.......................................................................................
Interurban and rural bus transportation..............................................
Taxi and limousine service.................................................................
School, employee, and charter bus industry......................................
Other transit and ground passenger transportation...........................
Pipeline transportation.......................................................................
Scenic and sightseeing transportation...............................................
Support activities for transportation
(including motor vehicle towing).....................................................
Couriers and messengers..................................................................
Warehousing and storage facilities....................................................
15,662
1,254,087
281,689
30,470
22,079
40,403
78,839
315,439
Professional, scientific, and technical services............................... 2,183,278
Legal services....................................................................................
275,016
Office of certified public accountants.................................................
46,813
Other accounting services..................................................................
277,418
Architectural, engineering, and related services................................
216,046
Architectural services.......................................................................
76,756
Engineering services........................................................................
74,069
125,295,367
33,900,532
3,213,170
7,286,000
12,165,793
5,417,147
4,760,617
3,340,795
600,340
90,830
224,249
380,706
181,960
117,523
723,672
188,077
15,184
42,400
64,061
30,904
22,546
2,892,611
1,398,911
163,317
163,401
170,653
90,927
50,204
632,247
162,631
23,522
87,985
53,028
38,578
6,076
9,196,686
3,765,676
518,553
721,087
1,320,710
710,050
413,301
61,721,883
16,486,633
1,376,228
3,430,675
4,585,371
1,691,417
2,035,129
Drafting, building inspections, and geophysical surveying...............
44,508
1,155,790
22,972
* 2,740
* 21,048
* 4,070
97,232
523,365
Surveying and mapping (except geophysical) services...................
Testing laboratories..........................................................................
Footnotes at end of table.
19,429
* 1,285
754,171
* 78,067
52,118
* 6,132
* 6,279
* 1,592
4,730
* 3,744
* 3,235
* 1,070
94,904
* 5,223
296,324
* 39,135
23
Sole Proprietorship Returns, 2004
Table 1.--Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net
Income, by Industrial Sectors Classified with the North American Industry Classification System
--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Businesses with net income
Rent paid
Industrial sector
Rent paid
Number
Business
Depreciation on machinery
on other
Interest paid
of returns
receipts
deduction 1,2
and
business
deduction 1,3
Payroll 1,4
Net income
equipment 1
property 1
(9)
(10)
(11)
(12)
(13)
(14)
(15)
(16)
149,577
191,675
6,633,893
7,874,626
213,243
234,715
22,549
47,943
88,834
72,580
29,021
16,322
258,617
245,588
2,242,233
5,019,271
Other professional, scientific, and technical services..................... 1,026,734
Management, scientific, and technical consulting services..........
529,879
Scientific research and development services..............................
21,097
Advertising and related services...................................................
103,250
Market research and public opinion polling..................................
28,737
Other miscellaneous services.......................................................
343,770
54,221,354
27,659,193
872,620
5,881,554
1,137,042
18,670,945
1,596,712
774,107
29,076
129,164
13,835
650,530
343,457
147,718
* 1,771
25,497
10,557
157,915
834,914
232,494
* 1,644
108,308
25,661
466,808
259,737
108,275
* 1,815
25,782
* 1,435
122,431
2,366,456
571,103
* 19,267
223,017
84,422
1,468,647
28,581,472
17,649,438
593,965
2,274,191
445,111
7,618,767
1,643,845
1,621,349
22,496
43,701,525
42,102,400
1,599,125
1,760,187
1,603,797
156,391
275,823
260,343
15,480
438,843
429,063
9,780
247,955
216,416
31,539
4,088,011
3,969,889
118,122
16,277,863
15,966,737
311,125
Educational services.......................................................................
379,545
Health care and social assistance.................................................. 1,483,957
Ambulatory health care services.....................................................
728,547
6,385,017
98,388,798
84,697,189
197,540
2,555,082
2,197,793
19,597
498,751
437,572
348,010
3,829,368
3,491,392
16,321
732,088
547,671
378,673
13,371,335
12,355,918
2,977,993
43,796,313
37,684,712
Professional, scientific, and technical service
--Continued
Specialized design services...........................................................
Computer systems design services................................................
Administrative and support and waste management
and remediation services..............................................................
Administrative and support services...............................................
Waste management and remediation services...............................
24
Offices of physicians (except mental health specialists)..............
Offices of physicians, mental health specialists...........................
Offices of dentists.........................................................................
Offices of chiropractors.................................................................
Offices of optometrists..................................................................
Offices of mental health practitioners and social therapists.........
155,788
30,868
79,388
32,360
12,137
141,045
29,838,904
2,724,653
28,639,982
4,225,063
2,803,900
7,220,090
543,316
60,596
975,276
142,592
108,791
177,363
168,741
11,753
116,566
47,139
9,782
58,941
1,110,924
168,345
1,026,278
292,743
160,066
398,436
114,330
2,836
280,220
49,421
24,325
45,208
3,758,792
180,112
6,217,984
466,988
512,334
409,206
14,883,180
1,541,268
10,234,813
1,803,021
742,993
4,057,996
Offices of podiatrists.....................................................................
Outpatient care centers and
5,927
1,180,553
20,203
* 8,084
113,928
4,061
121,647
475,430
other miscellaneous health practitioners....................................
Medical and diagnostic laboratories.............................................
Home health care services...........................................................
Other ambulatory health care services
(including ambulance services, blood and organ banks)............
81,650
21,311
146,471
3,403,537
1,512,694
2,524,594
72,152
54,276
33,840
10,788
1,829
3,603
138,900
37,857
17,476
4,030
20,973
1,718
193,999
226,772
227,283
1,769,781
592,832
1,243,696
21,600
623,219
9,387
* 345
26,440
* 548
* 40,803
339,702
Hospitals.........................................................................................
Nursing and residential care facilities.............................................
Social assistance............................................................................
Child day care services..................................................................
11,399
41,889
113,115
589,008
351,432
2,374,206
2,201,397
8,764,574
* 10,786
73,193
44,942
228,368
* 765
3,360
2,775
54,279
* 4,249
93,018
103,693
137,015
* 860
89,081
15,821
78,655
* 3,157
465,153
138,145
408,962
235,657
591,808
1,260,970
4,023,167
Arts, entertainment, and recreation................................................
Performing arts, spectator sports, and related industries...............
676,031
563,076
21,143,256
16,167,978
752,903
519,300
102,721
52,061
423,605
198,191
96,008
52,288
939,009
540,461
9,071,473
8,062,708
Museums, historical sites, and similar institutions..........................
Amusement, gambling, and recreation industries...........................
* 3,021
109,935
* 74,257
4,901,020
* 1,367
232,236
-50,660
-225,414
-43,719
-398,548
* 43,742
965,023
Accommodation, food services, and drinking places..................
Accommodation..............................................................................
Travel accommodation
(including hotels, motels, and bed and breakfast inns)..............
245,617
23,438
29,544,477
3,015,227
885,340
241,502
199,504
16,312
1,643,369
60,879
467,329
219,911
4,879,350
325,747
3,413,616
561,093
16,349
2,432,727
193,099
10,848
38,137
203,572
287,218
431,088
RV (recreational vehicle) parks and recreational camps..............
Rooming and boarding houses.....................................................
Food services and drinking places.................................................
4,032
3,056
222,179
383,605
198,895
26,529,250
38,319
* 10,084
643,838
* 4,204
* 1,260
183,191
* 19,969
* 2,773
1,582,490
13,068
* 3,272
247,418
18,519
* 20,010
4,553,604
72,229
57,775
2,852,524
Other services.................................................................................. 1,635,119
Auto repair and maintenance..........................................................
252,943
Automotive mechanical and electrical repair and maintenance....
130,225
Automotive body shops.................................................................
73,696
63,786,547
21,145,775
10,185,391
7,262,105
2,102,675
790,447
337,624
303,647
768,224
207,972
93,910
72,330
3,678,638
710,515
328,179
219,474
586,671
246,618
111,333
74,892
5,715,593
2,580,881
1,422,524
723,514
19,228,424
3,730,555
1,652,555
1,499,617
Other auto repair and maintenance
(including oil change, lubrication, and car washes)....................
Miscellaneous repairs.....................................................................
Personal and laundry services.......................................................
49,023
308,261
1,073,915
3,698,278
13,005,927
29,634,845
149,176
447,385
864,843
41,732
118,344
441,908
162,862
261,111
2,707,013
60,392
99,458
240,595
434,843
1,081,594
2,053,118
578,383
3,461,532
12,036,337
Religious, grantmaking, civic, professional
and similar organizations.............................................................
Unclassified establishments...........................................................
199,047
231,636
3,410,095
3,240,458
34,634
81,285
* 6,580
21,335
* 35,898
24,839
* 1,535
10,689
* 48,295
83,164
1,992,736
1,654,474
* Estimate should be used with caution because of the small number of sample returns on which it is based.
¹ Excludes amounts reported on Schedule C-EZ filed by certain small businesses not required to itemize their business deductions. Therefore, totals shown may be slightly
24
understated.
² Includes depreciation claimed on Form 8829.
³ Interest paid is the sum of mortgage interest and other interest paid on business indebtedness.
4
Payroll is the sum of salaries and wages plus the cost of labor reported as part of cost of sales and operations.
NOTE: Detail may not add to totals because of rounding.
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Agriculture, forestry, hunting, and fishing
Animal
All
Net income status, item
nonfarm
Total
industries
Mining
Forestry
Support
production
and logging
(including
(including forest
breeding
nurseries,
of cats and
timber tracts)
Hunting
Fishing
activities
and
for
trapping
agriculture
Total
and forestry
dogs)
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
BUSINESSES WITH AND
WITHOUT NET INCOME
20,590,691
281,915
35,273
48,400
70,441
8,665
119,137
125,923
Business receipts, total ¹..................................... 1,139,523,760
15,878,032
1,462,902
5,947,055
2,166,336
211,979
6,089,760
9,202,124
Income from sales and operations ¹.................... 1,122,226,857
8,914,512
Number of returns ¹..............................................
15,515,105
1,394,826
5,805,868
2,117,396
211,478
5,985,538
Other business income.......................................
17,296,903
362,927
68,076
141,187
48,941
*501
104,222
287,612
Business deductions, total 1,2
.................................
892,402,428
15,232,473
1,747,516
5,587,068
1,874,718
279,968
5,743,203
7,836,034
Cost of sales and operations, total......................
370,951,227
4,864,964
538,467
2,198,929
309,508
61,609
1,756,451
1,879,807
Inventory, beginning of year.............................
35,761,115
450,637
75,045
122,353
*24,660
*24,351
204,229
154,949
Cost of labor.....................................................
31,768,695
237,260
*33,150
80,763
*60,722
*651
61,974
76,364
Purchases........................................................
238,922,503
3,110,514
407,609
1,041,536
*164,931
*19,619
1,476,819
519,149
Materials and supplies.....................................
53,267,879
437,925
28,129
238,773
39,154
*10,836
121,032
325,490
Other costs.......................................................
50,186,705
1,120,825
75,336
869,100
44,502
*36,041
95,847
989,122
185,267
Inventory, end of year......................................
38,955,669
492,197
80,802
153,595
*24,461
*29,889
203,449
Advertising expenses..........................................
12,888,316
100,088
11,058
14,875
10,477
4,423
59,254
15,475
Car and truck expenses......................................
58,980,274
716,128
63,034
175,492
128,295
6,972
342,335
187,192
Commissions.......................................................
13,267,025
101,605
5,744
37,693
*706
*1,641
55,821
13,330
Contract labor.....................................................
24,686,741
517,297
54,888
214,093
77,345
6,179
164,792
204,060
Depletion.............................................................
775,567
6,976
*1
*6,971
--
--
*5
652,450
Depreciation........................................................
42,900,776
1,663,360
193,695
556,430
349,296
79,022
484,917
722,527
Employee benefit programs................................
2,617,800
21,450
4,159
6,969
*82
*33
10,207
21,840
Insurance............................................................
18,864,229
444,033
32,653
190,531
60,483
5,050
155,316
109,190
Legal and professional services..........................
8,959,140
101,240
25,388
24,348
19,445
2,142
29,916
104,725
Meals and entertainment deducted.....................
5,997,824
54,166
7,868
7,023
24,081
*688
14,507
20,944
Mortgage interest................................................
5,167,373
105,893
24,606
15,998
21,743
*12,367
31,179
22,336
Other interest paid on business indebtedness....
5,856,393
139,096
13,240
58,982
20,947
*1,882
44,046
66,310
Office expenses..................................................
12,362,672
62,112
8,707
13,303
9,197
528
30,378
49,620
Pension and profit-sharing plans........................
1,202,228
8,002
--
2,890
--
--
*5,113
3,013
Rent on machinery and equipment.....................
8,728,363
161,583
30,717
63,917
*4,589
*252
62,107
24,968
Rent on other business property.........................
28,139,206
191,813
35,243
35,460
33,681
*795
86,633
52,068
Repairs................................................................
14,762,464
659,372
33,511
321,265
106,430
3,831
194,335
192,034
Supplies..............................................................
27,302,886
539,356
98,368
114,460
96,581
11,472
218,474
72,787
Salaries and wages.............................................
71,068,517
1,243,193
54,300
426,123
*8,421
3,513
750,836
300,709
Taxes paid...........................................................
16,036,234
296,504
12,366
96,811
43,280
5,550
138,497
263,747
Travel..................................................................
10,317,557
100,975
22,890
14,895
27,636
*760
34,794
36,982
Utilities................................................................
21,477,462
224,233
34,922
54,333
31,211
10,734
93,034
90,475
Other business deductions.................................
98,293,189
2,856,618
439,083
931,936
476,194
59,643
949,762
2,699,160
Home office business deductions.......................
7,807,037
29,488
*827
3,186
*8,641
*883
15,952
12,803
Depreciation, Form 8829..................................
1,093,415
5,782
*3,020
*803
*1,147
--
813
1,090
Casualty loss, Form 8829................................
38,187
*84
*14
--
--
--
*69
--
Excess--casualty depreciations, Form 8829....
679,264
4,705
*1,353
*602
*971
--
*1,780
*479
Net income less deficit........................................
1,2
247,567,189
660,369
-282,054
360,087
291,632
-67,714
358,419
1,372,340
Net income 1,2 ......................................................
290,486,159
2,308,533
207,116
578,150
574,269
28,970
920,030
2,080,574
Deficit ²................................................................
42,918,970
1,648,164
489,169
218,063
282,637
96,684
561,610
708,234
Footnotes at end of table.
25
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Agriculture, forestry, hunting, and fishing
Animal
All
Net income status, item
nonfarm
Total
industries
Mining
Forestry
Support
production
and logging
(including
(including forest
breeding
nurseries,
of cats and
timber tracts)
Hunting
Fishing
activities
and
for
trapping
agriculture
Total
and forestry
dogs)
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
BUSINESSES WITH NET INCOME
26
Number of returns ¹..............................................
15,053,252
169,072
11,802
28,058
47,819
5,795
75,599
98,943
Business receipts, total ¹.....................................
971,377,184
12,203,678
1,185,643
4,475,983
1,662,031
131,585
4,748,437
7,275,659
Income from sales and operations ¹....................
957,180,075
11,939,861
1,128,473
4,378,259
1,622,161
131,427
4,679,541
7,075,818
Other business income.......................................
14,197,110
263,818
57,170
97,724
39,870
*157
68,896
199,841
Business deductions, total 1,2..............................
680,922,716
9,895,158
978,527
3,897,833
1,087,775
*102,615
3,828,408
5,195,499
Cost of sales and operations, total......................
287,540,846
3,673,695
490,658
1,631,510
173,493
*6,101
1,371,932
1,199,404
Inventory, beginning of year.............................
22,889,773
185,749
47,576
43,195
*9,691
*1,141
84,146
83,221
Cost of labor.....................................................
25,594,783
194,160
*30,474
61,077
*43,303
*36
59,270
19,541
309,699
Purchases........................................................
182,919,335
2,277,075
379,937
689,433
*85,966
--
1,121,739
Materials and supplies.....................................
44,088,243
399,298
*26,082
226,978
*21,927
*6,190
118,120
301,981
Other costs.......................................................
37,131,891
813,928
*46,965
673,981
*22,130
--
70,852
579,637
94,674
Inventory, end of year......................................
25,083,180
196,514
40,375
63,154
*9,524
*1,267
82,195
Advertising expenses..........................................
9,946,038
51,574
3,228
9,175
9,878
*3,416
25,878
9,621
Car and truck expenses......................................
45,032,334
464,218
39,947
94,937
76,969
*3,202
249,163
167,848
Commissions.......................................................
10,596,604
71,120
*3,890
*22,113
*678
*1,602
42,837
9,762
Contract labor.....................................................
20,263,337
307,528
43,369
153,471
*18,478
*4,911
87,298
157,954
Depletion.............................................................
630,899
*2,317
*1
*2,312
--
--
*5
541,710
Depreciation........................................................
28,579,782
873,131
59,300
371,865
181,417
*11,195
249,352
436,814
18,357
Employee benefit programs................................
2,185,157
17,669
*3,574
5,315
*32
--
8,748
Insurance............................................................
14,879,267
290,637
19,840
128,225
35,053
*2,473
105,047
90,569
Legal and professional services..........................
6,654,261
51,956
6,615
15,029
8,613
*1,892
19,808
63,774
Meals and entertainment deducted.....................
4,741,255
42,679
3,981
4,411
21,802
*672
11,814
17,802
Mortgage interest................................................
2,964,033
52,176
*14,726
5,237
*7,735
*5,146
19,333
19,808
Other interest paid on business indebtedness....
3,684,395
86,334
6,371
38,417
13,856
*51
27,639
32,530
Office expenses..................................................
9,597,963
38,310
4,713
9,652
7,251
*334
16,360
39,771
Pension and profit-sharing plans........................
1,142,795
7,690
--
*2,841
--
--
*4,849
2,294
Rent on machinery and equipment.....................
6,839,094
91,956
*2,857
45,785
*1,509
--
41,805
17,372
Rent on other business property.........................
21,976,979
109,266
26,529
13,261
20,711
--
48,765
42,615
Repairs................................................................
10,500,594
394,932
9,092
210,519
58,928
*1,616
114,777
141,679
Supplies..............................................................
20,980,798
368,902
30,868
78,348
75,200
*4,825
179,660
52,088
Salaries and wages.............................................
57,861,052
936,044
*46,087
300,691
*638
--
588,628
227,859
Taxes paid...........................................................
12,398,929
206,739
8,244
59,886
33,113
*3,523
101,973
205,659
Travel..................................................................
7,681,995
58,431
10,681
13,188
13,941
*527
20,094
19,141
Utilities................................................................
16,006,315
138,268
21,740
37,640
22,549
*3,325
53,014
68,488
Other business deductions.................................
69,222,553
1,513,209
120,463
641,040
291,358
*46,922
413,425
1,583,409
Home office business deductions.......................
6,090,685
24,010
--
2,809
*8,123
*883
12,195
12,487
Depreciation, Form 8829..................................
783,103
2,026
--
*682
*1,071
--
*274
1,079
Casualty loss, Form 8829................................
26,973
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
Net income 1,2........................................................
66,388
290,486,159
*1,322
2,308,533
-207,116
*425
578,150
*897
574,269
-28,970
-920,030
*244
2,080,574
Returns with Schedule C-EZ:
26
Number of returns...............................................
3,703,927
37,609
*990
*4,306
12,313
*2,151
17,850
26,599
Business receipts................................................
24,574,808
206,934
*1,999
*71,050
55,475
*6,146
72,264
116,743
Business deductions...........................................
2,991,929
22,929
*1,779
*156
6,449
--
14,545
17,484
Net income..........................................................
Footnotes at end of table.
21,582,879
184,005
*220
*70,894
49,026
*6,146
57,719
99,258
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Mining--continued
Oil
Net income status, item
Metal
Nonmetallic
Support
and
Coal
ore
mineral
activities for
gas extraction
mining
mining
mining and
mining
Utilities
Construction
Total
Total
(14)
(15)
quarrying
(9)
(10)
(11)
(12)
(13)
BUSINESSES WITH AND
WITHOUT NET INCOME
Number of returns ¹..............................................
103,469
1,135
*1,335
4,527
15,458
11,795
2,586,774
Business receipts, total ¹.....................................
6,650,892
507,160
*110,121
467,784
1,466,167
308,232
198,364,423
Income from sales and operations ¹....................
6,399,459
503,085
*110,042
464,557
1,437,370
305,414
196,965,287
Other business income.......................................
251,433
*4,075
*79
3,227
28,798
*2,818
1,399,137
..............................
5,666,958
525,673
*94,442
396,612
1,152,350
275,435
167,342,724
Cost of sales and operations, total, total.............
971,870
*350,642
*6,124
117,403
433,768
*33,700
87,352,291
Inventory, beginning of year.............................
67,756
*4,571
--
62,462
*20,159
*582
4,461,608
Cost of labor.....................................................
15,761
*45,400
--
*9,431
*5,772
--
16,355,362
Purchases........................................................
193,251
*95,996
*59
93,348
136,496
*24,114
26,898,873
Materials and supplies.....................................
24,689
*83
*4,748
*5,538
290,432
*9,500
30,746,065
Other costs.......................................................
747,890
*210,380
*1,318
25,535
*4,000
--
14,201,019
Inventory, end of year......................................
77,476
*5,789
--
78,911
*23,091
*496
5,310,636
Advertising expenses..........................................
4,977
*202
*35
2,332
7,931
*986
982,799
Car and truck expenses......................................
126,347
*368
*856
15,770
43,852
*39,365
11,239,455
Business deductions, total
1,2
Commissions.......................................................
8,325
*3,985
*38
*87
*894
*277
747,887
Contract labor.....................................................
112,913
*16,657
*73
5,372
69,045
*26,717
9,603,708
Depletion.............................................................
632,275
*7,567
*1,135
5,164
6,309
*28
5,079
Depreciation........................................................
516,882
33,171
*21,411
45,801
105,262
23,684
7,927,571
Employee benefit programs................................
8,474
*5,266
*862
*1,027
6,210
*250
378,773
Insurance............................................................
45,643
*4,144
*1,238
14,696
43,468
8,997
4,245,542
Legal and professional services..........................
93,231
2,688
*232
2,685
5,890
3,201
875,964
Meals and entertainment deducted.....................
9,047
*50
*7
90
11,750
*1,316
505,516
Mortgage interest................................................
14,433
*139
--
*3,918
3,846
--
541,826
Other interest paid on business indebtedness....
46,773
*6,569
*370
5,557
7,041
*9,673
822,294
Office expenses..................................................
29,618
*404
*360
1,199
18,039
5,593
943,559
Pension and profit-sharing plans........................
2,015
*141
*156
*214
*488
--
66,090
Rent on machinery and equipment.....................
11,332
*1,274
*2,369
3,147
6,847
*10,090
1,378,644
Rent on other business property.........................
41,400
*711
*39
3,297
6,622
*5,311
1,044,355
Repairs................................................................
91,576
*15,156
*14,923
23,224
47,154
12,956
1,837,717
Supplies..............................................................
42,629
*3,913
*2,547
3,812
19,886
15,596
6,928,892
Salaries and wages.............................................
91,721
*20,918
*12,443
52,439
123,188
*8,443
10,608,833
2,085,405
Taxes paid...........................................................
217,562
5,698
*2,215
13,043
25,229
2,823
Travel..................................................................
27,931
*394
*506
1,631
6,520
*9,954
651,253
Utilities................................................................
45,714
1,880
*5,874
9,275
27,732
11,906
2,177,276
Other business deductions.................................
2,452,516
43,737
*20,629
65,403
116,876
42,674
13,099,646
Home office business deductions.......................
7,338
--
--
*29
*5,437
*967
888,515
Depreciation, Form 8829..................................
1,028
--
--
*2
*60
*148
105,053
Casualty loss, Form 8829................................
--
--
--
--
--
--
*3,037
Excess--casualty depreciations, Form 8829....
*479
--
--
--
--
--
48,187
Net income less deficit
1,2
....................................
992,096
-20,424
*15,679
71,173
313,817
41,922
31,038,488
Net income 1,2 ......................................................
1,624,615
*17,971
*18,057
81,668
338,264
99,146
35,130,228
Deficit ²................................................................
632,519
38,395
*2,378
10,495
24,447
*57,224
4,091,740
Footnotes at end of table.
27
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Mining--continued
Oil
Net income status, item
Metal
Nonmetallic
Support
and
Coal
ore
mineral
activities for
gas extraction
mining
mining
mining and
mining
Utilities
Construction
Total
Total
(14)
(15)
quarrying
(9)
(10)
(11)
(12)
(13)
BUSINESSES WITH NET INCOME
Number of returns ¹..............................................
82,834
*1,051
*354
2,508
12,196
9,146
2,127,410
Business receipts, total ¹.....................................
5,353,963
*77,068
*109,798
389,079
1,345,751
251,675
174,956,534
Income from sales and operations ¹....................
5,183,799
*76,815
*109,718
386,058
1,319,428
248,894
173,761,946
Other business income.......................................
170,164
*253
*79
*3,021
*26,323
*2,781
1,194,588
Business deductions, total ................................
3,729,761
*59,097
*91,741
307,411
1,007,488
152,547
139,825,752
Cost of sales and operations, total......................
705,509
*1,655
*6,124
91,725
394,390
*33,700
74,558,516
Inventory, beginning of year.............................
32,351
--
--
*31,640
*19,230
*582
3,377,295
Cost of labor.....................................................
*9,439
--
--
*6,523
*3,579
--
13,925,151
Purchases........................................................
137,088
*151
*59
*70,026
*102,375
*24,114
22,838,715
Materials and supplies.....................................
6,976
*69
*4,748
*2,456
*287,731
*9,500
26,010,144
1,2
28
Other costs.......................................................
556,284
*1,436
*1,318
*19,726
*875
--
12,229,512
Inventory, end of year......................................
36,628
--
--
*38,646
*19,400
*496
3,822,301
Advertising expenses..........................................
2,681
*38
*35
1,261
5,607
*459
789,339
Car and truck expenses......................................
112,887
*358
*425
12,783
41,395
*27,214
9,157,444
Commissions.......................................................
5,748
*3,893
*38
*83
--
--
586,404
Contract labor.....................................................
87,813
*11
*73
*1,383
68,674
*26,717
8,292,302
Depletion.............................................................
526,093
*4,264
*1,135
*5,034
5,184
*28
*4,870
Depreciation........................................................
299,848
*2,441
*21,319
32,959
80,246
*12,243
6,122,083
Employee benefit programs................................
7,274
*3,350
*833
*892
*6,008
*250
288,013
Insurance............................................................
36,482
*1,739
*1,233
11,744
39,372
*4,008
3,504,287
Legal and professional services..........................
56,592
*1,248
*184
1,244
4,506
1,911
679,781
Meals and entertainment deducted.....................
6,481
*(Z)
*4
*48
11,270
*657
413,879
Mortgage interest................................................
11,965
*101
--
*3,918
*3,824
--
352,428
Other interest paid on business indebtedness....
22,284
*77
*370
3,310
6,489
*451
633,327
Office expenses..................................................
21,342
*210
*350
1,070
16,799
*2,776
745,561
Pension and profit-sharing plans........................
1,480
*3
*156
*177
*479
--
61,974
Rent on machinery and equipment.....................
7,237
*42
*1,605
*2,399
6,088
*1,623
1,113,350
Rent on other business property.........................
34,614
*330
*16
*1,389
6,266
*2,792
860,074
Repairs................................................................
67,152
*3,041
*14,917
19,529
37,040
*4,212
1,398,919
Supplies..............................................................
25,298
*3,385
*2,540
3,019
17,848
*1,921
5,753,666
Salaries and wages.............................................
53,522
*9,826
*12,227
43,993
108,291
*8,228
8,696,572
1,655,368
Taxes paid...........................................................
167,346
*2,494
*1,998
10,456
23,365
2,392
Travel..................................................................
12,679
*(Z)
*474
860
5,128
*4,898
514,110
Utilities................................................................
33,708
*1,033
*5,859
8,123
19,765
*4,261
1,740,019
Other business deductions.................................
1,403,089
*19,558
*19,825
49,984
90,953
10,042
10,753,550
Home office business deductions.......................
7,021
--
--
*29
*5,437
*837
752,258
Depreciation, Form 8829..................................
1,017
--
--
*2
*60
*148
73,362
Casualty loss, Form 8829................................
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
Net income1,2 ........................................................
*244
1,624,615
-*17,971
-*18,057
-81,668
-338,264
-99,146
9,314
35,130,228
Returns with Schedule C-EZ:
28
Number of returns...............................................
24,272
*971
--
*347
*1,010
*2,026
417,400
Business receipts................................................
63,712
*9,414
--
*38,524
*5,093
*3,026
3,135,165
Business deductions...........................................
14,417
--
--
--
*3,067
*927
403,833
Net income..........................................................
Footnotes at end of table.
49,295
*9,414
--
*38,524
*2,026
*2,099
2,731,332
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Construction--continued
Net income status, item
Manufacturing
Residential
Nonresidential
Heavy and
Specialty
building
building
civil engineering
trade
construction
construction
construction
contractors
(16)
(17)
(18)
(19)
Total
Food
Textile
manufacturing
and textile
product mills
(20)
(21)
(22)
BUSINESSES WITH AND
WITHOUT NET INCOME
Number of returns ¹..............................................
374,490
80,950
47,320
2,084,014
351,204
29,074
4,551
Business receipts, total ¹.....................................
46,626,584
9,541,450
7,508,085
134,688,305
25,824,798
3,449,144
316,682
Income from sales and operations ¹....................
46,252,315
9,492,659
7,431,186
133,789,127
25,721,668
3,431,449
316,570
Other business income.......................................
374,269
48,792
76,898
899,178
103,130
17,696
*112
..............................
41,716,258
8,608,931
6,854,190
110,163,345
22,901,141
3,286,342
272,300
Cost of sales and operations, total......................
27,693,714
5,322,635
3,529,938
50,806,005
11,939,926
2,161,857
*142,106
Inventory, beginning of year.............................
2,484,769
224,988
819,182
932,668
1,217,340
194,844
*27,688
Cost of labor.....................................................
3,864,065
727,804
189,998
11,573,495
1,370,135
59,100
*12,814
Purchases........................................................
9,157,136
1,939,614
1,420,225
14,381,898
7,248,540
1,709,670
*75,552
Materials and supplies.....................................
8,852,109
1,553,702
998,363
19,341,891
2,324,883
237,120
*27,702
Other costs.......................................................
6,453,889
1,121,708
1,063,403
5,562,019
1,067,429
174,395
*10,858
*12,509
Business deductions, total
1,2
Inventory, end of year......................................
3,118,255
245,181
961,234
985,966
1,288,401
213,272
Advertising expenses..........................................
142,141
26,372
38,329
775,957
269,957
22,835
*2,357
Car and truck expenses......................................
1,469,631
437,494
215,430
9,116,899
792,198
65,886
*11,362
Commissions.......................................................
146,749
32,080
64,176
504,882
147,075
9,062
*3,947
Contract labor.....................................................
1,903,854
381,492
207,476
7,110,886
470,190
18,562
*662
Depletion.............................................................
*4,467
*3
*152
*458
1,996
--
--
Depreciation........................................................
1,284,367
275,065
596,285
5,771,854
1,120,661
79,524
*12,537
Employee benefit programs................................
52,799
11,312
13,972
300,690
80,351
10,760
*1,676
Insurance............................................................
670,967
182,014
189,924
3,202,637
398,900
33,924
*4,422
Legal and professional services..........................
180,120
44,199
50,641
601,003
193,980
25,283
*3,289
Meals and entertainment deducted.....................
58,100
17,412
12,061
417,943
54,034
4,279
*725
Mortgage interest................................................
158,562
32,366
46,825
304,074
127,406
3,696
*82
Other interest paid on business indebtedness....
171,308
39,155
101,503
510,327
154,746
20,281
*3,520
*4,985
Office expenses..................................................
175,052
37,813
35,671
695,023
228,891
15,874
Pension and profit-sharing plans........................
5,802
*390
3,255
56,643
17,227
876
*96
Rent on machinery and equipment.....................
213,176
62,918
176,561
925,989
185,809
4,452
*2,016
*1,119
Rent on other business property.........................
134,396
27,218
27,441
855,300
800,530
150,973
Repairs................................................................
215,903
114,500
172,597
1,334,718
304,026
42,840
*844
Supplies..............................................................
1,433,559
257,892
185,862
5,051,578
625,829
29,139
*14,872
Salaries and wages.............................................
1,631,208
418,118
396,425
8,163,082
2,040,133
279,903
*25,075
Taxes paid...........................................................
348,835
142,299
110,170
1,484,102
470,998
50,037
*3,996
Travel..................................................................
80,057
41,931
20,071
509,194
161,405
14,390
*4,300
Utilities................................................................
341,072
124,868
79,296
1,632,039
616,414
70,465
*13,395
*12,213
Other business deductions.................................
2,978,463
563,964
565,088
8,992,131
1,513,243
169,035
Home office business deductions.......................
156,119
15,380
9,888
707,129
168,135
*2,410
--
Depreciation, Form 8829..................................
21,881
1,313
*2,330
79,529
24,441
*175
--
Casualty loss, Form 8829................................
*49
--
--
*2,988
--
--
--
Excess--casualty depreciations, Form 8829....
6,833
*434
*1,558
39,362
16,965
--
--
Net income less deficit
1,2
....................................
4,913,506
932,519
654,918
24,537,546
3,018,241
180,805
44,382
Net income 1,2......................................................
5,741,610
1,220,989
880,302
27,287,328
3,980,453
294,382
*66,763
Deficit ²................................................................
828,104
288,470
225,384
2,749,782
962,212
113,577
*22,382
Footnotes at end of table.
29
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Construction--continued
Net income status, item
Manufacturing
Residential
Nonresidential
Heavy and
Specialty
building
building
civil engineering
trade
construction
construction
construction
contractors
(16)
(17)
(18)
(19)
Total
Food
Textile
manufacturing
and textile
product mills
(20)
(21)
(22)
BUSINESSES WITH NET INCOME
Number of returns ¹..............................................
302,012
63,983
37,124
1,724,291
224,199
20,124
*2,524
Business receipts, total ¹.....................................
40,918,175
7,774,489
6,180,477
120,083,392
21,979,899
2,974,797
*256,523
Income from sales and operations ¹....................
40,628,102
7,743,177
6,120,645
119,270,022
21,937,761
2,964,100
*256,523
Other business income.......................................
290,073
31,312
59,833
813,370
42,138
10,696
--
..............................
35,176,689
6,553,500
5,299,499
92,796,064
18,003,130
2,680,414
*189,759
Cost of sales and operations, total......................
23,946,238
4,172,374
2,629,689
43,810,215
9,774,623
1,816,921
*115,433
Inventory, beginning of year.............................
1,931,653
162,066
549,222
734,354
801,896
93,986
*18,540
Cost of labor.....................................................
3,278,847
588,855
166,045
9,891,405
1,052,988
*25,869
*5,896
Purchases........................................................
7,757,364
1,285,841
1,039,597
12,755,913
5,812,273
1,482,891
*66,587
Business deductions, total
30
1,2
Materials and supplies.....................................
7,158,431
1,391,211
860,193
16,600,308
2,073,541
224,082
*21,652
Other costs.......................................................
6,054,224
927,288
620,613
4,627,388
884,910
107,958
*8,381
Inventory, end of year......................................
2,234,281
182,887
605,981
799,152
850,984
117,866
*5,623
Advertising expenses..........................................
110,452
16,698
26,760
635,430
197,214
15,088
*2,314
Car and truck expenses......................................
1,101,284
321,099
186,316
7,548,745
567,797
55,026
*4,581
Commissions.......................................................
129,682
18,888
40,392
397,442
97,005
4,964
*57
Contract labor.....................................................
1,509,347
255,993
182,852
6,344,111
349,541
*16,263
*226
Depletion.............................................................
*4,338
*3
*148
*381
*1,418
--
--
Depreciation........................................................
1,044,228
192,719
503,385
4,381,750
810,767
48,571
*10,775
Employee benefit programs................................
47,182
8,242
11,311
221,277
68,004
8,605
--
Insurance............................................................
562,223
132,157
156,398
2,653,509
330,840
24,920
*1,200
Legal and professional services..........................
135,230
35,207
33,725
475,620
123,262
17,873
*794
Meals and entertainment deducted.....................
39,261
13,259
8,496
352,863
36,256
2,007
*99
Mortgage interest................................................
112,728
13,142
22,521
204,037
99,893
*2,095
*82
Other interest paid on business indebtedness....
120,717
25,128
83,735
403,747
84,660
8,870
*2,820
*3,268
Office expenses..................................................
134,543
31,088
27,301
552,629
163,521
12,948
Pension and profit-sharing plans........................
5,680
*181
1,965
54,148
15,382
*869
--
Rent on machinery and equipment.....................
168,675
46,124
162,398
736,153
129,652
2,617
*795
Rent on other business property.........................
109,488
25,148
19,755
705,683
600,827
118,440
--
Repairs................................................................
162,958
62,446
146,751
1,026,764
227,498
32,949
*467
Supplies..............................................................
1,158,539
180,001
156,081
4,259,046
435,253
17,485
*11,128
Salaries and wages.............................................
1,379,467
333,621
305,686
6,677,799
1,717,930
227,286
*12,993
*3,111
Taxes paid...........................................................
296,803
109,306
72,138
1,177,121
379,130
38,499
Travel..................................................................
53,278
33,362
12,310
415,161
115,373
9,203
*546
Utilities................................................................
271,418
90,474
63,164
1,314,962
479,995
56,241
*12,506
*3,862
Other business deductions.................................
2,385,315
422,899
434,686
7,510,650
1,068,034
142,656
Home office business deductions.......................
121,777
13,901
6,389
610,192
112,173
*21
--
Depreciation, Form 8829..................................
15,699
*879
*776
56,008
13,808
*6
--
Casualty loss, Form 8829................................
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
Net income1,2 ........................................................
*784
5,741,610
-1,220,989
-880,302
8,530
27,287,328
*22
3,980,453
-294,382
-*66,763
Returns with Schedule C-EZ:
30
Number of returns...............................................
59,516
*6,355
2,940
348,589
47,038
*1,942
*936
Business receipts................................................
445,922
*45,394
15,176
2,628,673
303,878
*24,993
*4,532
Business deductions...........................................
65,838
*40
5,153
332,801
17,082
*(Z)
*2,704
Net income..........................................................
Footnotes at end of table.
380,084
*45,353
10,023
2,295,872
286,796
*24,993
*1,828
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Manufacturing--continued
Plastics,
Leather
Net income status, item
Apparel
Petroleum
rubber, clay,
Nonmetallic
and
Wood
Paper
and related
and coal
Chemical
refractory,
mineral
allied
products
products
support
products
manufacturing
and glass
products
products
(23)
Printing
(24)
activities
(25)
(26)
(27)
products
(28)
(29)
(30)
(31)
BUSINESSES WITH AND
WITHOUT NET INCOME
Number of returns ¹..............................................
29,678
*3,838
51,401
*18
38,532
*407
11,169
18,696
8,578
Business receipts, total ¹.....................................
1,585,687
*99,464
3,232,481
*27,629
2,563,190
*130,793
497,290
746,391
992,138
Income from sales and operations ¹....................
1,584,637
*97,263
3,230,167
*27,610
2,549,076
*130,644
466,237
743,412
987,514
Other business income.......................................
1,050
*2,201
2,314
*18
14,113
*150
*31,053
*2,979
*4,624
Business deductions, total 1,2 ..............................
1,326,063
*97,834
2,884,487
*28,338
2,364,668
*124,700
443,471
682,236
899,889
Cost of sales and operations, total......................
687,324
*23,263
1,728,382
*16,410
1,047,605
*117,022
197,968
185,793
564,691
Inventory, beginning of year.............................
107,183
*2,491
109,075
*1,589
71,775
*580
*4,985
29,063
*16,860
Cost of labor.....................................................
30,790
--
353,266
--
144,011
--
*16,937
12,298
*72,067
Purchases........................................................
345,946
*12,457
743,091
*14,702
513,885
*116,609
95,878
136,909
296,703
Materials and supplies.....................................
75,040
*9,005
568,442
*821
243,122
--
*61,378
30,707
197,979
Other costs.......................................................
239,165
*2,341
104,188
*1,349
134,055
--
*22,144
27,663
*8,628
Inventory, end of year......................................
110,801
*3,031
149,679
*2,050
59,244
*167
*3,355
50,847
*27,546
Advertising expenses..........................................
17,760
*91
26,242
*7
57,117
*55
5,210
20,830
4,035
Car and truck expenses......................................
57,069
*1,017
96,443
*24
91,216
*130
15,208
34,126
*16,119
Commissions.......................................................
3,649
--
6,688
--
27,991
--
*408
*733
*953
Contract labor.....................................................
26,134
*45
15,110
--
43,051
--
*33,624
10,062
*9,873
Depletion.............................................................
--
--
*20
--
*(Z)
*131
*788
--
--
Depreciation........................................................
37,148
*2,941
148,656
*2,783
80,031
*727
21,693
52,698
46,891
Employee benefit programs................................
*4,270
*20
9,114
--
*3,625
--
*3,677
*552
*2,232
Insurance............................................................
9,455
*76
69,133
*600
40,027
*231
5,911
20,033
20,627
Legal and professional services..........................
6,787
*30
10,802
*153
18,627
*93
13,543
7,574
4,792
Meals and entertainment deducted.....................
3,062
--
4,950
*39
3,889
*(Z)
675
4,764
2,802
Mortgage interest................................................
*1,024
--
24,342
*331
*5,771
*26
--
*5,707
*7,148
Other interest paid on business indebtedness....
10,157
*213
9,451
*89
17,586
--
*2,462
14,507
*2,329
Office expenses..................................................
6,480
*2
16,150
*64
51,527
--
14,705
11,850
2,882
Pension and profit-sharing plans........................
*315
*117
*1,340
--
*1,800
*32
*320
*560
--
Rent on machinery and equipment.....................
8,584
--
27,163
*693
35,670
*17
*2,452
*1,416
*6,714
Rent on other business property.........................
63,671
*120
67,416
*258
144,532
*20
*4,926
32,315
*5,300
Repairs................................................................
9,381
*2
67,524
*547
31,570
*42
6,565
7,013
11,415
Supplies..............................................................
24,636
*20,627
63,946
*7
132,031
*49
12,353
39,305
13,729
Salaries and wages.............................................
136,515
*1,276
170,702
*4,268
197,135
*1,411
*16,517
92,517
100,213
Taxes paid...........................................................
29,911
*250
41,061
*582
51,941
*2,937
10,487
23,690
21,144
Travel..................................................................
6,609
*173
15,927
*597
11,195
*(Z)
3,216
8,194
*2,798
Utilities................................................................
29,403
*123
63,210
*339
76,398
*125
17,523
30,423
10,766
Other business deductions.................................
132,634
*47,448
149,156
*547
171,906
*1,494
48,252
73,085
41,832
Home office business deductions.......................
*14,074
--
45,504
--
21,718
--
*3,471
*3,972
*605
Depreciation, Form 8829..................................
*2,191
--
*8,104
--
*1,505
--
*8
*665
*134
Casualty loss, Form 8829................................
--
--
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
*263
--
*9,261
--
--
--
*8
*965
--
1,2
....................................
313,302
*1,629
348,726
*-709
199,361
*6,093
58,692
68,035
92,249
Net income 1,2......................................................
378,246
*8,919
424,441
*272
318,381
*6,596
85,743
121,486
101,850
Deficit ²................................................................
64,945
*7,290
75,715
*981
119,020
*503
27,051
53,451
*9,600
Net income less deficit
Footnotes at end of table.
31
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Manufacturing--continued
Plastics,
Leather
Net income status, item
Apparel
Petroleum
rubber, clay,
Nonmetallic
and
Wood
Paper
and related
and coal
Chemical
refractory,
mineral
allied
products
products
support
products
manufacturing
and glass
products
products
(23)
Printing
(24)
activities
(25)
(26)
(27)
products
(28)
(29)
(30)
(31)
BUSINESSES WITH NET INCOME
32
Number of returns ¹..............................................
17,677
*1,850
35,298
*7
23,862
*393
5,160
13,482
6,904
Business receipts, total ¹.....................................
1,435,185
*97,537
2,893,226
*23,155
2,072,384
*130,570
404,583
609,210
717,978
Income from sales and operations ¹....................
1,434,156
*95,337
2,891,214
*23,140
2,067,639
*130,420
402,818
609,104
717,419
Other business income.......................................
*1,029
*2,201
2,013
*15
*4,745
*150
*1,765
*107
*558
Business deductions, total 1,2..............................
1,056,939
*88,618
2,468,785
*22,883
1,754,003
*123,973
318,841
487,724
616,128
Cost of sales and operations, total......................
555,808
*23,257
1,513,395
*13,249
851,456
*117,022
*137,011
135,259
394,972
Inventory, beginning of year.............................
53,065
*2,489
65,389
*904
61,925
*580
*2,095
24,810
*15,278
Cost of labor.....................................................
*19,345
--
337,880
--
110,096
--
*14,749
*7,648
*24,614
Purchases........................................................
280,939
*12,453
584,040
*11,231
398,406
*116,609
*45,909
110,133
*168,469
Materials and supplies.....................................
*35,574
*9,005
521,308
*821
209,791
--
*57,792
*20,331
*197,942
Other costs.......................................................
236,043
*2,341
93,999
*1,349
110,012
--
*18,138
*7,968
*6,549
Inventory, end of year......................................
69,159
*3,031
89,221
*1,055
38,775
*167
*1,672
35,633
*17,880
Advertising expenses..........................................
10,897
*91
20,383
*3
49,303
*55
*1,108
15,413
*2,175
Car and truck expenses......................................
28,938
*1,017
78,697
--
64,572
*130
*13,648
22,042
*7,550
Commissions.......................................................
*3,115
--
6,405
--
*13,771
--
*408
*355
*953
Contract labor.....................................................
*15,052
*45
4,086
--
36,408
--
*33,621
*2,195
*908
Depletion.............................................................
--
--
*20
--
*(Z)
*108
*245
--
--
Depreciation........................................................
21,608
*7
103,752
*1,147
52,063
*626
18,892
20,837
37,445
Employee benefit programs................................
*4,234
*20
8,774
--
*1,139
--
*3,623
*287
*1,749
Insurance............................................................
9,359
*76
63,972
*600
32,795
*231
5,736
17,388
12,371
Legal and professional services..........................
4,604
*30
8,068
*120
14,676
*93
*1,624
4,713
2,847
Meals and entertainment deducted.....................
2,424
--
4,140
*39
3,286
*(Z)
*521
*3,114
*744
Mortgage interest................................................
*986
--
20,890
*331
*4,086
*26
--
*5,707
*2,941
Other interest paid on business indebtedness....
*4,081
*213
6,002
--
14,086
--
*1,651
*6,408
*668
Office expenses..................................................
5,341
*2
11,605
*64
26,617
--
*14,425
9,728
*1,162
Pension and profit-sharing plans........................
*315
*117
*972
--
*1,426
*32
*320
*270
--
Rent on machinery and equipment.....................
*8,560
--
25,633
*693
22,284
*17
*2,452
*496
*5,410
*1,915
Rent on other business property.........................
32,397
*120
55,715
*258
100,850
*20
*4,198
*26,167
Repairs................................................................
7,714
*2
55,843
*547
29,484
*42
*4,463
6,180
4,885
Supplies..............................................................
14,940
*14,353
55,973
*1
64,608
*49
*11,518
27,581
*10,813
Salaries and wages.............................................
134,541
*1,276
162,348
*3,825
141,439
*1,411
*15,684
*85,828
*79,413
Taxes paid...........................................................
29,018
*250
37,771
*569
33,907
*2,923
3,900
21,776
12,403
Travel..................................................................
1,113
*173
12,166
*578
9,413
*(Z)
*945
*5,170
*2,139
Utilities................................................................
27,738
*122
53,102
*318
54,922
*125
10,231
24,446
3,796
Other business deductions.................................
121,182
*47,446
124,969
*541
111,913
*906
30,180
42,619
*28,263
Home office business deductions.......................
*12,959
--
28,050
--
18,792
--
*917
*3,227
*605
Depreciation, Form 8829..................................
*1,928
--
*3,267
--
*1,505
--
*8
*369
*134
Casualty loss, Form 8829................................
--
--
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
Net income1,2 ........................................................
-378,246
-*8,919
-424,441
-*272
-318,381
-*6,596
*8
85,743
-121,486
-101,850
Returns with Schedule C-EZ:
32
Number of returns...............................................
*5,975
--
*11,887
*4
*2,343
*39
*2,958
*4,966
*2,989
Business receipts................................................
*55,148
--
*81,273
*97
*5,165
*6,102
*3,386
*19,089
*35,657
Business deductions...........................................
*13
--
*6,055
--
*709
*159
*1,518
*518
--
Net income..........................................................
Footnotes at end of table.
*55,135
--
*75,218
*97
*4,456
*5,942
*1,868
*18,571
*35,657
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Manufacturing--continued
Electrical
Net income status, item
Primary
Fabricated
metal
metal
industries
products
(32)
(33)
Machinery
(34)
Computer and
equipment,
Transportation
Furniture
electronic
appliances, and
equipment
and related
products
components
(35)
(36)
products
(37)
(38)
BUSINESSES WITH AND
WITHOUT NET INCOME
Number of returns ¹..............................................
*5,133
35,016
24,222
8,370
5,665
10,288
28,287
Business receipts, total ¹.....................................
*162,506
3,574,350
2,661,245
230,494
551,221
955,764
1,917,331
Income from sales and operations ¹....................
*161,738
3,578,548
2,653,652
230,442
547,606
954,377
1,915,946
Other business income.......................................
*768
-4,198
7,593
*52
*3,615
*1,387
*1,385
..............................
*121,908
3,261,765
2,245,980
158,587
489,757
919,234
1,484,963
Cost of sales and operations, total......................
*35,324
1,430,011
1,189,511
66,668
279,125
535,153
822,236
Inventory, beginning of year.............................
*6,601
137,847
153,013
*10,669
*41,051
97,470
58,721
Cost of labor.....................................................
*131
215,991
202,575
*1,433
*20,041
*61,284
78,272
Purchases........................................................
*23,350
792,742
750,492
55,836
167,562
461,503
593,393
Business deductions, total
1,2
Materials and supplies.....................................
*13,283
278,856
158,885
*5,851
*49,685
*6,848
123,649
Other costs.......................................................
--
163,434
75,457
*4,376
*12,447
5,878
28,967
Inventory, end of year......................................
*8,041
158,859
150,910
*11,497
*11,659
97,831
60,765
Advertising expenses..........................................
*67
30,488
14,694
*3,591
2,357
12,251
16,340
Car and truck expenses......................................
*5,352
123,342
69,234
*7,754
27,609
28,117
44,305
Commissions.......................................................
*25
26,500
*3,989
*2,581
*339
*7,346
19,319
Contract labor.....................................................
*13,183
122,555
79,331
*2,398
*7,745
*29,762
*4,187
Depletion.............................................................
--
--
--
--
*606
--
*11
Depreciation........................................................
*20,298
242,239
180,680
9,053
11,183
14,922
74,421
Employee benefit programs................................
--
16,516
18,063
*232
*3,352
*530
*486
Insurance............................................................
*2,114
86,738
40,214
*582
8,054
13,916
19,477
Legal and professional services..........................
*1,360
25,004
21,436
*1,022
4,549
12,012
14,936
Meals and entertainment deducted.....................
*22
12,699
1,876
2,567
1,301
668
5,908
Mortgage interest................................................
*1,859
20,588
*11,444
--
*388
*27,191
*8,701
Other interest paid on business indebtedness....
*481
22,950
14,266
*611
*5,072
*8,954
5,113
Office expenses..................................................
*1,353
29,130
15,903
*1,870
4,792
5,626
23,876
Pension and profit-sharing plans........................
*11
6,462
*3,150
--
*77
--
*1,050
Rent on machinery and equipment.....................
*23
51,698
2,927
*4
*662
*18,970
10,448
Rent on other business property.........................
*162
78,453
63,550
*6,443
12,966
21,605
85,564
Repairs................................................................
*19
53,676
21,930
*1,321
1,498
13,462
18,893
Supplies..............................................................
*8,535
71,842
55,423
13,005
4,379
17,494
46,531
Salaries and wages.............................................
*448
369,242
210,582
*6,819
43,745
43,679
85,427
Taxes paid...........................................................
*1,749
90,669
52,683
*2,725
9,047
16,972
18,243
Travel..................................................................
--
31,024
4,843
*7,617
4,517
5,749
12,666
Utilities................................................................
*7,342
85,336
87,846
*7,345
10,064
26,661
45,648
Other business deductions.................................
*22,181
214,435
64,323
13,075
45,570
48,662
84,859
Home office business deductions.......................
--
20,055
15,479
*356
*750
*9,532
*15,835
Depreciation, Form 8829..................................
--
*2,495
*3,639
*453
--
*1,702
*1,428
Casualty loss, Form 8829................................
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
--
*928
*2,249
*105
*695
*2,185
*305
Net income less deficit
1,2
....................................
*40,598
312,585
415,265
71,908
69,363
36,531
432,369
......................................................
*45,427
455,896
461,357
*122,184
105,486
95,955
467,551
Deficit ²................................................................
*4,829
143,311
46,092
*50,276
*36,123
59,424
35,183
Net income
1,2
Footnotes at end of table.
33
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Manufacturing--continued
Electrical
Net income status, item
Primary
Fabricated
metal
metal
industries
products
(32)
(33)
Machinery
(34)
Computer and
equipment,
Transportation
Furniture
electronic
appliances, and
equipment
and related
products
components
(35)
(36)
products
(37)
(38)
BUSINESSES WITH NET INCOME
Number of returns ¹..............................................
*3,851
20,462
19,131
*2,761
4,328
4,400
20,314
Business receipts, total ¹.....................................
*158,756
2,820,617
2,406,330
*207,516
504,764
633,854
1,750,824
Income from sales and operations ¹....................
*157,988
2,825,587
2,400,321
*207,517
501,205
632,466
1,749,487
Other business income.......................................
*768
-4,971
6,009
--
*3,559
*1,387
*1,337
..............................
*113,329
2,364,721
1,944,973
*85,332
399,278
537,899
1,283,273
Cost of sales and operations, total......................
*33,929
1,089,606
1,093,927
*42,946
253,874
282,042
721,726
Inventory, beginning of year.............................
*6,601
84,676
127,259
*8,319
*34,905
*46,117
*55,367
Cost of labor.....................................................
*131
145,287
190,721
*1,386
*17,694
*4,131
*71,457
Business deductions, total
34
1,2
Purchases........................................................
*23,350
580,290
703,462
*38,832
*145,450
282,574
501,144
Materials and supplies.....................................
*11,888
253,483
120,918
*176
*49,665
*390
120,447
Other costs.......................................................
--
135,033
73,077
*742
*11,980
*4,839
*27,595
Inventory, end of year......................................
*8,041
109,164
121,510
*6,509
*5,820
*56,010
*54,284
Advertising expenses..........................................
*67
15,091
12,921
*2,770
*2,137
*4,808
11,802
Car and truck expenses......................................
*5,352
79,681
48,334
*2,812
21,976
*16,550
40,831
Commissions.......................................................
*25
10,408
*1,860
*2,567
*74
*7,336
11,898
Contract labor.....................................................
*13,183
57,119
77,080
*2,237
*6,969
*29,176
*2,517
Depletion.............................................................
--
--
--
--
*606
--
--
Depreciation........................................................
*17,103
198,130
140,254
*1,786
9,034
*9,845
56,052
Employee benefit programs................................
--
15,946
16,873
--
*1,992
*277
*435
Insurance............................................................
*1,846
70,363
35,875
*520
7,630
*7,710
18,483
Legal and professional services..........................
*1,295
12,618
12,795
*269
2,031
*10,244
12,310
Meals and entertainment deducted.....................
*22
7,806
1,662
*1,699
*1,166
*567
4,817
Mortgage interest................................................
--
19,657
*11,365
--
*154
*14,470
*8,682
Other interest paid on business indebtedness....
*481
8,136
7,638
*387
*4,562
*1,019
*3,869
Office expenses..................................................
*1,316
18,244
9,589
*918
4,355
*4,945
21,279
Pension and profit-sharing plans........................
*11
6,453
*3,051
--
*59
--
*1,050
Rent on machinery and equipment.....................
*23
31,023
2,383
--
*239
*18,935
*1,624
Rent on other business property.........................
*162
40,443
50,198
*5,918
*10,504
*17,793
83,944
Repairs................................................................
*19
39,400
14,982
*552
*1,202
*1,608
16,414
Supplies..............................................................
*8,034
46,064
45,627
*1,515
*3,697
*12,130
38,728
Salaries and wages.............................................
*448
325,892
185,455
*2,633
*30,452
*24,818
*82,969
Taxes paid...........................................................
*490
75,112
48,230
*2,385
*6,971
*8,677
17,132
Travel..................................................................
--
25,471
4,379
*5,234
*3,877
*3,533
11,886
Utilities................................................................
*7,342
58,105
69,478
*5,826
8,505
*19,345
41,151
Other business deductions.................................
*22,181
101,042
39,654
*1,059
17,119
*41,448
61,235
Home office business deductions.......................
--
*12,798
*8,758
*352
*86
*622
*11,955
Depreciation, Form 8829..................................
--
*1,567
*1,342
*348
--
*9
*1,386
Casualty loss, Form 8829................................
--
--
--
--
--
--
--
Excess--casualty depreciations, Form 8829....
Net income1,2 ........................................................
-*45,427
-455,896
*13
461,357
-*122,184
-105,486
-95,955
-467,551
Returns with Schedule C-EZ:
34
Number of returns...............................................
*971
*2,941
*2,166
*936
*50
--
*2,986
Business receipts................................................
*4,659
*12,513
*8,632
*6,710
*1,587
--
*6,827
Business deductions...........................................
--
*112
*2,603
*949
*9
--
*483
Net income..........................................................
Footnotes at end of table.
*4,659
*12,402
*6,029
*5,761
*1,579
--
*6,344
Sole Proprietorship Returns, 2004
Table 2.--Nonfarm Sole Proprietorships: Income Statements, by Selected Industrial Sectors
Classified with the North American Industry Classification System--Continued
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Manufacturing--continued
Wholesale trade (merchant wholesalers)
Durable goods,
Net income status, item
Medical
Other
equipment
miscellaneous
and supplies
manufacturing
(39)
(40)
Total
(41)
Retail trade
Nondurable
Wholesale
including
goods,
electronic
machinery,
including food,
markets
Motor
Total
vehicle and
woods, metals,
fiber,
and agents
parts
etc.
chemicals, .etc.
and brokers
dealers
(42)
(43)
(44)
(45)
(46)
BUSINESSES WITH AND
WITHOUT NET INCOME
Number of returns ¹..............................................
3,864
34,417
350,824
149,399
118,760
82,665
2,399,442
158,658
Business receipts, total ¹.....................................
448,767
1,682,231
40,849,558
18,307,028
16,338,556
6,203,974
187,076,742
37,368,327
Income from sales and operations ¹....................
448,686
1,666,095
40,239,466
17,949,267
16,277,629
6,012,569
184,626,296
37,035,261
Other business income.......................................
*81
16,137
610,092
357,761
60,927
191,405
2,450,446
333,066
..............................
290,629
1,517,990
35,735,351
16,305,397
14,918,485
4,511,469
179,018,027
36,061,020
Cost of sales and operations, total......................
*89,181
620,296
26,637,840
12,337,462
11,596,250
2,704,127
126,466,370
29,743,572
Inventory, beginning of year.............................
*3,024
142,813
2,343,791
1,509,930
727,921
105,940
20,713,293
4,487,924
Cost of labor.....................................................
*18,479
70,644
363,436
145,332
202,534
*15,570
2,761,219
661
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