# Sole Proprietorship Returns, Tax Year 2021

> Briefs, arguments, decisions, and more.

URL: https://www.frixlaw.com/law-library/documents/agency%3Airs%3Af1f80aa682e02527

## Record

- **Collection:** Agency decision
- **Document type:** Agency decision

## Text

Sole Proprietorship Returns, Tax Year 2021
by Adrian Dungan

F

or Tax Year (TY) 2021, there were approximately 29.3 million individual income tax returns that reported nonfarm sole
proprietorship activity, a 3.4% increase from 2020. Total receipts reported by nonfarm sole proprietorships increased 16.4%,
while deductions increased 14.9%, and profits jumped 22.0% to
$411.3 billion in 2021. In constant dollars, total receipts rose by
11.3%, deductions rose by 9.4%, and profits increased by 16.6%.
Total profits as a percentage of business receipts were 22.0%
for the year, up from 21.0% for the prior year. The professional,
scientific, and technical services sector remained the sector with
the largest share of profits at 24.1% with profits increasing by
18.2% to $99.1 billion. All sectors saw increases in profits, with
the largest percentage increase in the transportation and warehousing sector, which increased 43.5% to $24.9 billion.
The construction sector reported the largest percentage of
total business receipts (17.1%) and total business deductions
(18.5%). The wholesale trade sector reported the largest percentage increase in business receipts (28.8%) and the transportation and warehousing sector experienced the largest dollar increase in business receipts, increasing by $38.0 billion.

Returns and Receipts

Between TYs 2020 and 2021, the number of individual income
tax returns reporting nonfarm sole proprietorship activity

increased 3.4% to 29.3 million (Figure A).1 The transportation
and warehousing sector had the largest percentage increase in
the number of returns among all sectors, increasing 11.3% for
TY 2021 following a 12.4% rise in TY 2020. The subsector of
the transportation and warehousing specific to taxis, limousines, and other ride-sharing services did not contribute at all
to this large increase. In fact, the number of returns for “Taxis,
limousines, and other ride-sharing services” dropped by 4.2%
while the business receipts in this subsector increased by 34.7%.
Between TYs 2013 and 2021, the average business receipts per
return in this subsector (taxis, etc.) fell from $36,420 to $25,678,
although the 2021 average was the highest for this group since
2014 (Figure B). For the transportation and warehousing sector
more broadly, 89.1% of the returns had business receipts of
$100,000 or less; these returns accounted for 45.8% of total
profits (Figure C). Similarly, the administrative and support and
waste management services and the construction sectors had
relatively large percentages of profits accounted for by returns
with business receipts of less than $100,000. In the administrative and support and waste management services sector, 93.4%
of returns had business receipts less than $100,000; these returns
accounted for 55.9% of the sector’s total profits. The construction sector had 81.7% of such returns, accounting for 44.2% of
its total profits. Conversely, the wholesale trade (15.9%), the

Figure A
Nonfarm Sole Proprietorship Returns, Receipts, and Deductions, by Selected Industrial Sector, Tax Years 2020 and 2021
[Number of returns is in thousands—money amounts are in billions of dollars]
Selected industrial sector

2020
(1)

All nonfarm industries
Construction
Wholesale trade (merchant wholesalers)
Retail trade
Transportation and warehousing
Finance and insurance
Real estate and rental and leasing
Professional, scientific, and technical services
Administrative and support and waste management services
Health care and social assistance
Arts, entertainment, and recreation
Other services
All other sectors

28,353.4
3,279.0
332.8
2,602.6
3,298.0
709.6
1,431.3
3,599.4
2,795.6
2,158.6
1,592.4
3,588.2
2,965.9

Number of returns
Percentage
2021
change
(2)
(3)
29,309.6
3,145.5
363.7
2,687.8
3,671.9
718.9
1,499.7
3,680.2
2,775.9
2,190.0
1,626.7
3,704.3
3,244.9

3.4
-4.1
9.3
3.3
11.3
1.3
4.8
2.2
-0.7
1.5
2.2
3.2
9.4

Total business receipts
Percentage
2021
change
(4)
(5)
(6)

2020
1,605.2
294.2
49.6
195.0
138.3
111.9
103.9
198.5
88.8
114.7
40.7
113.9
155.6

1,868.0
320.0
63.9
222.8
176.2
123.0
127.1
227.3
100.2
129.1
51.5
137.0
190.0

16.4
8.8
28.8
14.2
27.5
10.0
22.3
14.5
12.9
12.6
26.4
20.2
22.0

Total business deductions [1]
Percentage
2021
change
(7)
(8)
(9)

2020
1,268.9
247.2
44.9
182.8
121.2
85.8
67.2
114.6
66.2
72.8
31.2
91.4
143.5

1,458.0
269.6
58.0
205.8
151.5
95.7
81.0
128.3
73.8
81.6
38.6
105.4
168.8

14.9
9.1
29.0
12.6
25.0
11.6
20.6
11.9
11.4
12.0
23.6
15.3
17.6

[1] Total business deductions are calculated before subtraction of nonallowable "passive" activity losses and inclusion of any "passive loss" carryover from prior years.
NOTES: Detail may not add to totals because of rounding. Percentages were calculated before rounding.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

For TY 2021, the 29,309,596 nonfarm sole proprietorship returns accounted for an estimated 33,252,027 nonfarm businesses. For purposes of these 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 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. The Statistics of Income (SOI) Division applied these classifications on a “per business”
(rather than on a “per establishment”) basis 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.
NAICS for industrial coding was introduced in 1998. Prior to 1998, industries were classified using the Standard Industrial Classification (SIC). Due to coding changes, comparisons between
data by industry from 1998–2021 with 1997 and prior years may show inconsistencies. A reason for this is that several types of sole proprietorships under NAICS were classified in completely
different industrial groups, which makes prior-year comparisons under the SIC system inappropriate. For example, in 1997, finance, insurance, and real estate were classified as one industry
under the SIC system, while under the NAICS system, the group is split into two industrial sectors. The industrial sectors based on the NAICS codes are reported in Tables 1 and 2.
1

Statistics of Income

Statistics of Income Bulletin | Summer 2024

www.irs.gov/statistics

Sole Proprietorship Returns, Tax Year 2021
Figure B
Nonfarm Sole Proprietorships: Income Statements for Taxis and Limousines, Including Ride-Sharing Services, Tax Years 2013–2021
[All figures are estimates based on samples--money amounts are in thousands of dollars]
Net income status, item

Taxis and limousines, including ride-sharing services
2013

2014

2015

2016

2017

2018

2019

2020

2021

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns [1]
Business receipts, total [1,2]
Income from sales and operations [1]

230,481

331,281

555,046

847,065

1,037,701

1,103,024

1,363,610

1,170,553

1,121,324

8,394,177

10,874,894

12,808,899

16,667,209

21,538,304

26,481,055

33,718,564

21,383,832

28,793,892
28,259,130

8,238,769

10,658,172

12,680,939

16,445,007

21,283,180

26,077,063

33,303,882

20,922,905

Other business income (loss) [1]

155,408

216,722

127,959

222,202

255,124

403,992

414,682

460,927

534,762

Business deductions, total [1,2,3]

6,026,516

8,405,469

10,153,715

13,459,248

17,853,556

22,749,710

28,736,655

19,263,108

24,510,621

Cost of sales and operations

85,707

220,143

200,268

168,933

203,540

137,168

327,319

172,508

382,383

Advertising expenses

58,833

46,425

60,397

69,043

90,730

114,344

86,927

80,094

86,668

Car and truck expenses

1,446,115

2,154,758

2,725,539

4,480,628

6,469,898

8,946,327

12,245,949

7,857,552

9,155,266

Commissions

179,673

230,200

487,736

794,283

1,222,840

1,661,332

2,211,004

1,168,043

1,907,585

Contract labor

193,757

278,918

199,810

179,858

489,904

277,689

342,311

231,378

185,895

Depreciation

252,269

362,876

488,304

459,246

678,466

649,395

839,486

770,476

800,468

Insurance

303,001

403,056

382,624

487,139

520,928

551,804

639,088

562,811

607,399

Legal and professional services

36,102

45,489

60,581

77,012

135,018

189,579

187,871

140,485

158,489

Meals and entertainment deducted

68,614

85,709

89,987

224,901

273,547

295,317

329,951

272,742

411,572

Other interest paid on business indebtedness

49,441

13,270

34,864

30,653

39,506

62,813

46,371

33,338

29,541

Office expenses

21,934

29,264

57,056

75,168

97,634

130,595

96,745

104,520

132,692

Rent paid on machinery and equipment

1,244,278

1,676,672

1,613,450

1,622,525

1,484,949

1,407,164

1,410,343

827,056

931,342

Rent paid on other business property

149,334

120,421

234,897

227,218

242,263

263,762

421,073

205,482

304,966

Repairs

209,576

289,536

359,142

375,638

528,036

640,663

699,347

584,932

714,954

Supplies

41,890

125,806

99,870

199,312

245,197

387,074

445,042

448,008

639,611

Salaries and wages

115,582

103,728

109,566

219,346

129,258

115,582

247,937

109,566

109,566

Taxes paid

89,953

139,797

122,103

211,215

222,812

263,331

230,948

155,745

210,263

Travel

53,945

73,095

74,806

105,037

206,122

291,242

212,532

167,705

185,324

Utilities

145,183

199,119

320,180

429,427

581,156

749,740

924,816

746,199

784,412

Other business expenses

1,206,370

1,669,365

2,206,131

2,728,782

3,685,076

5,292,885

6,649,634

4,458,200

6,662,645

Net income less deficit [1,2]

2,367,665

2,470,162

2,656,632

3,223,125

3,694,665

3,760,332

5,023,587

2,259,454

4,313,164

2,629,448

2,940,526

3,457,190

4,382,503

5,485,379

6,176,837

7,907,572

5,181,445

7,062,741

261,783

470,364

800,558

1,159,378

1,790,714

2,416,505

2,883,985

2,921,992

2,749,578

Net income [1,2]
Deficit [2]
Returns with Schedule C-EZ:
Number of returns

23,418

36,026

126,124

193,612

169,286

107,768

[4]

[4]

[4]

Business receipts

223,733

197,099

502,216

595,387

731,185

522,547

[4]

[4]

[4]

Business deductions

39,465

39,656

164,642

198,272

224,661

160,568

[4]

[4]

[4]

Net income

184,268

157,444

337,574

397,116

506,525

361,979

[4]

[4]

[4]

[1] Includes returns with Schedule C-EZ attached. Schedule C-EZ was filed for certain small businesses, i.e., those with net incomes, business expenses of $5,000 or less, used the cash accounting method, with no
inventories or employees, and with no deduction for a home office business and no allowable "passive" activity losses. 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] Total business deductions are before subtraction of nonallowable "passive" activity losses and any "passive loss" carryover from the 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.
[3] Total business deductions will not be equal to the total as items with an estimate based on a small number of sample returns have been removed.
[4] Schedule C-EZ was eliminated for Tax Year 2019 in accordance with the 2017 Tax Cuts and Jobs Act.
NOTE: Detail may not add to totals because of rounding.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

finance and insurance (9.4%) and retail trade (6.0%) sectors had
much lower percentages of profits accounted for by returns with
business receipts of $100,000 or less. The transportation and
warehousing and professional, scientific, and technical services
sectors had the largest number of returns with business receipts
less than $100,000 each with 3.2 million returns, respectively.
Overall, returns with business receipts of $100,000 or less
comprised 90.1% of all sole proprietor returns, but earned just
33.9% of the profits.

For all nonfarm sole proprietorship industries, total business
receipts (the sum of “income from sales and operations” and
“other business income”) increased 16.4%, from $1,605.2 billion to $1,868.0 billion (Figure A).2 The wholesale trade sector
showed the largest percentage increase in business receipts, increasing 28.8% to $63.9 billion for TY 2021. The transportation
and warehousing sector experienced the second largest percentage increase in business receipts, increasing by 27.5% to $176.2
billion. In constant dollars, total business receipts for TY 2021

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 as “other business income.” However, business 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 sales of investment and business
properties. Sole proprietors report incidental investment income, in combination with nonbusiness related investment income, as part of their total income on their individual income tax returns.
2

Statistics of Income Bulletin

2

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Figure C
Nonfarm Sole Proprietorships: Percentage of Industry’s Total Returns and Total Net Income for Returns with Business Receipts
Equal to or Less Than $100,000, by Selected Industry, Tax Year 2021
Industry
33.9%

All nonfarm industries

90.1%

6.0%

Retail trade

89.4%

9.4%

Finance and insurance
Wholesale trade (merchant wholesalers)

15.9%

Real estate and rental and leasing

16.9%

79.1%
81.3%
80.8%

24.3%

Professional, scientific, and technical services

86.8%

29.8%

Arts, entertainment, and recreation

95.3%

33.9%

Health care and social assistance

90.2%

Construction

44.2%

Transportation and warehousing

45.8%

Administrative and support and waste management
services

81.7%
89.1%

55.9%
0%

20%

40%
Net income

60%

93.4%
80%

100%

Number of returns

SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Figure D
Nonfarm Sole Proprietorships: Business Receipts, Deductions, and Profits, Tax Years 1988–2021
[Money amounts are in billions of dollars]
Total business receipts
Tax year

Current
dollars
(1)

1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021

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
1,222.9
1,278.4
1,324.4
1,317.4
1,178.4
1,195.5
1,265.9
1,301.6
1,341.6
1,393.9
1,443.6
1,422.2
1,531.3
1,589.7
1,639.7
1,605.2
1,868.0

Total business deductions [1]

Constant dollars [2]
Percentage
Amount
change
(2)
(3)

Current
dollars

1,221.6
1,211.9
1,231.9
1,162.3
1,175.5
1,179.6
1,205.9
1,206.1
1,237.1
1,255.3
1,309.6
1,363.1
1,403.9
1,367.4
1,363.6
1,363.8
1,441.0
1,499.4
1,520.6
1,533.8
1,496.9
1,330.7
1,333.8
1,383.8
1,396.8
1,415.6
1,445.6
1,483.4
1,447.7
1,531.3
1,554.1
1,576.5
1,523.2
1,694.9

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
953.4
1,001.1
1,044.3
1,053.7
934.5
929.0
984.2
997.6
1,040.4
1,078.5
1,112.8
1,094.9
1,186.5
1,242.4
1,283.0
1,268.9
1,458.0

[3]
-0.8
1.7
-5.7
1.1
0.3
2.2
[4]
2.6
1.5
4.3
4.1
3.0
-2.6
-0.3
0.0
5.7
4.1
1.4
0.9
-2.4
-11.1
0.2
3.7
0.9
1.3
2.1
2.6
-2.4
5.8
1.5
1.4
-3.4
11.3

Net income less deficit (profits)

Constant dollars [2]
Percentage
Amount
change
(5)
(6)

(4)

992.0
980.0
993.5
931.7
929.9
935.9
951.5
953.3
977.7
986.3
1,021.3
1,070.8
1,108.9
1,075.4
1,071.2
1,065.1
1,128.5
1,169.0
1,190.8
1,209.4
1,197.2
1,055.3
1,036.4
1,075.9
1,070.5
1,097.8
1,118.5
1,143.5
1,114.5
1,186.5
1,214.6
1,233.5
1,204.1
1,322.9

[3]
-1.2
1.4
-6.2
-0.2
0.6
1.7
0.2
2.6
0.9
3.6
4.8
3.6
-3.0
-0.4
-0.6
6.0
3.6
1.9
1.6
-1.0
-11.9
-1.8
3.8
-0.5
2.5
1.9
2.2
-2.5
6.5
2.4
1.6
-2.4
9.9

(7)

Constant dollars [2]
Percentage
change
(8)
(9)

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
269.9
278.0
280.6
264.5
244.8
267.7
282.6
304.9
302.3
317.1
331.8
328.2
346.2
348.5
355.2
337.2
411.3

229.6
232.1
238.4
230.8
245.6
243.7
254.4
252.9
259.3
269.2
288.5
292.4
295.3
292.3
292.8
299.1
313.1
331.0
330.7
324.9
300.5
276.5
298.7
309.0
327.2
318.9
328.8
341.0
334.1
346.2
340.7
341.5
320.0
373.2

Current
dollars

Amount

[3]
1.1
2.7
-3.2
6.4
-0.8
4.4
-0.6
2.6
3.8
7.2
1.4
1.0
-1.0
0.2
2.1
4.7
5.7
-0.1
-1.8
-7.5
-8.0
8.0
3.5
5.9
-2.5
3.1
3.7
-2.0
3.6
-1.6
0.2
-6.3
16.6

[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 less deficit. Therefore, total business receipts minus total business deductions may not always equal net income less deficit.
[2] Current dollars are the value of a dollar at the time it was measured. 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 2017 = 100.
[3] Not calculated.
[4] Less than 0.05 percent.
NOTE: Percentages were calculated before rounding.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Statistics of Income Bulletin

3

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
experienced the largest percentage increase in the 34 years of
this study, jumping by 11.3% to $1,694.9 billion (in 2017 dollars, Figure D).3

growth in depreciation of any year between TYs 1988 and 2021.
The initial increase in depreciation was followed by trends of
decreased depreciation, which is consistent with deductions
being accelerated into the year of expensing. Constant dollar
declines of depreciation were reported for TYs 2005, 2006, and
2007. This downward trend was particularly pronounced in
2005, as constant dollar depreciation fell by 11.7%, followed
by decreases of 3.2% in 2006 and 1.0% in 2007. During this
same three-year period, Section 179 limits gradually increased
for inflation, finally rising to $125,000 in 2007.7 In 2008, the
Section 179 limit was doubled to $250,000 and there was a 2.6%
increase in constant dollar depreciation. The $250,000 limit remained for TY 2009 and depreciation dropped 17.2%, which
was the largest decrease since at least 1988. In TY 2010, the
Section 179 limit was again doubled to $500,000, but constant
dollar depreciation increased by only 0.5%, from $39.0 billion
to $39.2 billion. The limit was increased as part of the stimulus packages created in response to the Great Recession.8 The
Section 179 limit remained $500,000 for TYs 2011 through
2017. For 2011, constant dollar depreciation dropped by 0.7%;
in 2012 it dropped another 5.6% to $36.7 billion, the lowest
level over the 34 years of this study. The Tax Cuts and Jobs Act
of 2017 (TCJA) increased the additional first-year depreciation
deduction in IRC Section 168(k) from 50% to 100% for qualified property acquired and placed in service after September 27,
2017, and before January 1, 2023. The TCJA also expanded
bonus depreciation to certain used property. TY 2018 was the
first year that the TCJA impacted depreciation and accordingly,
constant dollar depreciation rose by 18.0% to $49.6 billion. This
represents the highest percentage real growth in depreciation for
all 34 years included in this study. There was also a marked increase in constant dollar depreciation for TY 2021 when it rose
13.9% to $59.5 billion.

Deductions

Total business deductions (“cost of sales and operations” plus
business expenses, including expenses for home offices) in current dollars increased 14.9%, from $1,268.9 billion in TY 2020
to $1,458.0 billion in TY 2021 (Figure A).4, 5 In constant dollars,
total business deductions increased 9.9% in 2021 (Figure D).
Deductions for the construction sector, the largest sector in
terms of total business deductions, increased 9.1%, from $247.2
billion in 2020 to $269.6 billion in 2021. The wholesale trade
sector had the largest percentage increase of total business deductions, increasing 29% to $58 billion.
The cost of sales and operations represented 35.6% of total
TY 2021 business deductions ($518.4 billion) (Table 2). Total
business “expenses” (total business deductions minus the cost
of sales and operations) were $939.7 billion for 2021.
Historically, constant dollar depreciation increased almost
every year from 1993 through 2003.6 Between TYs 2004 and
2009, constant dollar depreciation dropped significantly, going
from $54.3 billion to $39.0 billion. In TY 2012, it dropped to
$36.7 billion, but subsequently climbed back to $42.1 billion
by 2017 (Figure E). Increases in TYs 2003 and 2008 coincided
with legislative changes to Section 179 of the Internal Revenue
Code (IRC) that substantially increased the amount of certain
investment property that could be expensed in a given year
rather than depreciated over time. Under the Jobs and Growth
Tax Relief Reconciliation Act of 2003, the maximum allowable Section 179 deduction vaulted from $24,000 in 2002 to
$100,000 in 2003. This change led to a constant dollar depreciation increase of 11.7% for 2003, which was the third highest

Based on the overall implicit price deflator for Gross Domestic Product. See U.S. Department of Commerce, Bureau of Economic Analysis, Survey of Current Business. Indices used for this
article can be found in chart below.
3

Tax year
Index
Tax year
Index
Tax year
Index
1988
55.008
1993
64.194
1998
70.119
1989
57.165
1994
65.564
1999
71.111
1990
59.305
1995
66.939
2000
72.722
1991
61.31
1996
68.164
2001
74.36
1992
62.707
1997
69.34
2002
75.515
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Tax year
2003
2004
2005
2006
2007

Index
77.006
79.077
81.556
84.071
86.349

Tax year
2008
2009
2010
2011
2012

Index
88.013
88.556
89.632
91.481
93.185

Tax year
2013
2014
2015
2016
2017

Index
94.771
96.421
97.316
98.241
100

Tax year
2018
2019
2020
2021

Index
102.291
104.008
105.381
110.213

Sole proprietors report personal, i.e., nonbusiness income and expense items apart from business income or loss, which is reported on Profit or Loss From Business (Schedule C). Salaries
paid to owners are neither deducted as wages paid on Schedule C nor included as wages received on Form 1040, U.S. Individual Income Tax Return. 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.
5
Business deductions include the 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 Schedule C. In some cases, these expenses were limited. Starting in TY 2013, sole proprietors could also use a simplified method to determine these
costs by reporting on Schedule C square footage (up to 300 square feet) used for the home office. The taxpayer could then take $5 per square foot as a business expense. 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.
6
Under IRC Section 179 the cost of certain tangible property may be treated as a current expense rather than a capital expenditure subject to depreciation deductions. The Omnibus Budget
Reconciliation Act of 1993 (OBRA93) increased the maximum amount of investment that could immediately be deducted on property placed in service after 1992, from $10,000 to $17,500.
The increase in the constant dollar depreciation deductions for 1993, and subsequent decline in 1995, may be attributed, in part, to this provision of OBRA93. Following the enactment of this
provision, the 179 deduction for all individuals (not just sole proprietors) filing Form 4562, Depreciation and Amortization, increased 32.4% to $13.5 billion for 1993.
7
Under the Jobs and Growth Tax Relief Reconciliation Act of 2003, the maximum amount of a Section 179 deduction increased four times between 2002 and 2006, from $24,000 (2002) to
$100,000 (2003) to $102,000 (2004) to $105,000 (2005), and then to $108,000 (2006). This was further expanded to $125,000 for 2007 by the Small Business and Work Opportunity Tax Act of
2007 (PL 110-28). The Jobs Creation and Worker Assistance Act of 2002 introduced 30% bonus depreciation, and the Jobs and Growth Tax Relief Reconciliation Act of 2003 increased the bonus
percentage to 50%, 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 2008, the Economic Stimulus Act of 2008 increased the maximum expensing deduction under Section 179 to $250,000. The American Recovery and Reinvestment Act of 2009 extended
that level through 2009. For all individual tax returns that filed Form 4562, Depreciation and Amortization, the Section 179 property deducted as an expense increased by 5.1% to $49.8 billion
for 2008. For 2009, when the maximum Section 179 deduction remained at $250,000, the amount deducted for all returns decreased by 17.2% to $41.3 billion. The amount deducted as Section 179
property on returns that had a Schedule C dropped 19.6% to $16.2 billion between 2008 and 2009. For 2010, the amount taxpayers could deduct as section 179 property increased to $500,000.
This was in accordance with the Small Business Jobs and Credit Act of 2010. The amount deducted by returns with a Schedule C increased to $18.8 billion, representing a 15.6% increase from
2009. For 2010, the amount deducted on all individual returns increased to $49.6 billion, a 20.3% increase from 2009. These numbers do not reflect depreciation solely deducted on the Schedule
C, as this could also include depreciation taken on the Schedule E, Supplemental Income and Loss, the Schedule F, Profit or Loss From Farming, and the Form 4835, Farm Rental Income and
Expenses.
4

Statistics of Income Bulletin

4

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Figure E
Nonfarm Sole Proprietorships: Business Receipts, Deductions, and Profits, Tax Years 1988–2021
[Money amounts are in billions of dollars]

Current dollars [1]
Tax year

Constant dollars [1]

Percentage change in constant dollars [1]

Net income

Deficit

Depreciation [2]

Net income

Deficit

Depreciation [2]

Net income

Deficit

Depreciation [2]

(5)

(6)

(7)

(8)

(9)

(1)

(2)

(3)

(4)

1988

145.5

19.2

26.1

264.5

34.9

47.4

[3]

[3]

[3]

1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021

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
314.8
326.8
335.1
325.3
308.9
323.2
337.0
357.1
357.4
374.5
392.1
389.1
415.8
430.0
443.3
436.4
516.9

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
44.8
48.7
54.5
60.8
64.1
55.5
54.3
52.2
55.1
57.5
60.3
60.9
69.5
81.5
88.1
99.2
105.5

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
39.1
39.0
39.6
41.4
34.5
35.1
35.6
34.2
35.4
36.6
38.4
38.4
42.1
50.8
52.0
55.1
65.6

266.6
272.7
264.9
276.7
275.7
286.4
286.4
293.6
303.5
322.6
328.2
337.2
336.4
340.7
349.4
367.3
385.9
388.7
388.1
369.6
348.8
360.6
368.4
383.2
377.1
388.4
402.9
396.1
415.8
420.4
426.2
414.1
469.0

34.5
34.1
34.1
31.1
31.9
32.0
33.6
34.3
34.4
34.1
35.8
42.0
44.1
47.9
50.4
54.3
55.0
58.0
63.2
69.0
72.3
61.9
59.4
56.0
58.2
59.6
61.9
62.0
69.5
79.7
84.7
94.1
95.8

42.9
40.0
37.7
37.2
38.9
40.0
39.2
40.1
41.3
41.6
43.1
44.3
45.0
48.5
54.2
54.3
47.9
46.4
45.9
47.1
39.0
39.2
38.9
36.7
37.3
37.9
39.5
39.1
42.1
49.6
50.0
52.3
59.5

0.8
2.3
-2.9
4.5
-0.3
3.9
-0.0
2.5
3.4
6.3
1.8
2.7
-0.2
1.3
2.6
5.1
5.1
0.7
-0.2
-4.8
-5.6
3.4
2.2
4.0
-1.6
3.0
3.7
-1.7
5.0
1.1
1.4
-2.8
13.2

-1.3
-1.2
0.1
-8.8
2.7
0.3
4.8
2.1
0.2
-0.7
5.0
17.2
5.1
8.6
5.1
7.8
1.3
5.4
9.0
9.3
4.8
-14.4
-4.1
-5.7
3.9
2.5
3.9
0.1
12.1
14.5
6.4
11.1
1.7

-9.7
-6.8
-5.7
-1.4
4.8
2.6
-1.9
2.4
2.8
0.7
3.7
2.8
1.5
7.9
11.7
0.1
-11.7
-3.2
-1.0
2.6
-17.2
0.5
-0.7
-5.6
1.6
1.6
4.1
-1.0
7.6
18.0
0.7
4.6
13.9

[1] Current dollars are the value of a dollar at the time it was measured. 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 2017 = 100.
[2] Excludes depreciation claimed on Form 8829, Expenses for Business Use of Your Home.
[3] Not calculated.
NOTE: Percentage changes were calculated before rounding.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Beginning with TY 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.
(Schedules C and C-EZ are the sources of nonfarm sole proprietorship statistics.) However, for TY 2019, Schedule C-EZ was
eliminated in accordance with IRC changes implemented by
TCJA. Previously, for TY 2018, taxpayers could use Schedule
C-EZ if they had business expenses of $5,000 or less; used the
cash accounting method; had no inventories; did not report a
loss from the business; had only one business as a sole proprietor; and had no employees who 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, based only on
Schedule C returns, are slightly understated and do not sum to
the total deductions in Figure D.9

Profits and Losses

Total profits increased by 22.0%, from $337.2 billion for TY
2020 to $411.3 billion for TY 2021. Sole proprietorship profits
(net income less deficit) increased across all sectors analyzed.
The professional, scientific, and technical services sector reported the largest percentage of total profits of all nonfarm sole
proprietorships, with 24.1% ($99.1 billion), and the sector had
a $15.2 billion (18.2%) increase in profits for TY 2021 compared to the previous year. The second largest sector by profits, construction, reported an increase in profits over TY 2020,

The SOI sample includes a weighted amount of 38,963 prior-year returns that still had Schedule C-EZ attached. See IRS Publication 1304, Description of the Sample, for an explanation of
prior-year returns in the SOI sample.
9

Statistics of Income Bulletin

5

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
rising 7.3% to $50.4 billion. The largest percentage increase
in profits was realized in the transportation and warehousing
sector, which increased 43.5% for a gain of $7.5 billion. Figure
D presents total profits for all industries (in both current and
constant dollars) since TY 1988, while Figure F (for 2020 and
2021) presents profits by selected industrial sector and Figure G
presents industrial profits as a percentage of total profits.10

In constant dollars, total profits increased by 16.6% for 2021
going from $320.0 billion in 2020 to $373.2 billion in 2021.
This represents the largest percentage increase in constant dollar
profits in the 34 years of this study. Figure H shows net income
less deficits as a percentage of business receipts for 1988 through
2021. In general, this percentage has increased over time from a
low of 18.8% for 1988, the exceptions being the periods leading
up to the recession in the early 2000s and the Great Recession,
starting in 2008. For 2021, net income less deficits as a percentage of business receipts increased from 21.0% in 2020 to 22.0%
in 2021.

Figure F
Nonfarm Sole Proprietorship Profits, by Selected Industrial
Sector, Tax Years 2020 and 2021
[Money amounts are in billions of dollars]

Limited Liability Companies

Net income less deficit (profits)
Selected industrial sector

2020

TY 2001 was the first year for which data became available
on the number of Limited Liability Companies (LLCs) among
nonfarm sole proprietorship returns. LLC entities have limited
liability (like corporations), but they may be taxed as sole proprietorships (for which income and expenses flow through to
the owner to be taxed), if owned by one individual. In 2001,
there were a little over 126,000 sole proprietorship returns that
indicated status as an LLC or just 0.7% of total sole proprietorship returns (Figure I). In contrast, for TY 2021 there were 3.1
million such sole proprietorships, which accounted for 10.7%
of the total nonfarm sole proprietorship returns, a nearly 25fold increase in the number of returns since 2001. The share of
total nonfarm sole proprietorship business receipts attributed to

Percentage
change

2021

(1)

(2)

(3)

All nonfarm industries

337.2

411.3

22.0

Construction
Wholesale trade (merchant wholesalers)
Retail trade
Transportation and warehousing

47.0
4.8
12.5
17.3

50.4
6.0
17.1
24.9

7.3
25.6
37.1
43.5

Finance and insurance

25.6

27.5

7.3

Real estate and rental and leasing
Professional, scientific, and technical services

36.9
83.9

46.2
99.1

25.2
18.2

Administrative and support and waste management services

22.6

26.5

17.1

Health care and social assistance

41.9

47.7

13.8

Arts, entertainment, and recreation

9.6

13.0

35.9

Other services

22.6

31.6

39.6

All other sectors

12.5

21.4

70.7

NOTES: Detail may not add to totals because of rounding. Percentage changes were calculated before rounding.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Figure G
Nonfarm Sole Proprietorships: Selected Industrial Sector Profits as a Percentage of Total Profits, Tax Year 2021
Wholesale trade (merchant wholesalers)

1.5

Arts, entertainment, and recreation

3.2

All other industries

3.2

Retail trade

4.2

Transportation and warehousing

6.0

Administrative and support and waste management services

6.4

Finance and insurance

6.7

Other services

7.7

Real estate and rental and leasing

11.2

Health care and social assistance

11.6

Construction

12.3

Professional, scientific, and technical services

24.1
0

5

10

15

20

25

Percentage of total profits
NOTES: Percentages are based on estimated total profits of $411.3 billion. Detail may not add to 100% because of rounding. Profits is a designation for "net income less deficit,"
discussed elsewhere in this article.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

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.

Statistics of Income Bulletin

6

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Figure H
Nonfarm Sole Proprietorship Net Income Less Deficit (Profits) as a Percentage of Total Business Receipts, Tax Years 1988–2021
Percentage
25

24

23.4

23

22.7

22.4
22.0

22

21.4
20.9

21

21.1
20.7

21.9
21.5

22.1

21.4

22.6

22.5

22.0
21.9

21.7

21.2

21.0

21.0

20.8

19.9

20

23.1

21.7

21.7

21.5

21.0 21.0

22.3

23.0

20.1

19.4
19.2
18.8

19

18

1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

Tax year
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Summary

LLCs also rose during this period, from approximately 2.3% in
2001 to 33.8% in 2021 (Figure J). Similarly, the portion of total
net income (less deficit) of all nonfarm sole proprietorships attributable to LLCs increased, from 1.0% in 2001 up to 20.3%
in 2021.

Business receipts for the 29.3 million returns with sole proprietorship activity for TY 2021 increased by 16.4% from TY 2020
to a level of $1,868 billion. The largest industrial sector, based
on business receipts, was the construction sector, accounting

Figure I
Nonfarm Sole Proprietorships: Number Filing Returns Registered as a Limited Liability Company (LLC), Tax Years 2001–2021
Tax year
2021

3,144,816

2020

2,783,413

2019

2,460,292

2018

2,119,147

2017

2,066,851

2016

1,868,459

2015

1,715,430

2014

1,619,099

2013

1,474,592

2012

1,324,196

2011

1,125,132

2010

1,059,910

2009

991,809

2008

842,819

2007

746,885

2006

606,889

2005

455,734

2004

309,665

2003

220,615

2002

145,839

2001

126,437
0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

Number of returns filed by nonfarm sole proprietorships registered as LLCs
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Statistics of Income Bulletin

7

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Figure J
Number of Returns, Business Receipts, and Profits for All Nonfarm Sole Proprietorships and Those Registered As Limited Liability
Companies (LLC),Tax Years 2001–2021
[Money amounts are in thousands of dollars]
Number of returns
Tax year

Total business receipts

All nonfarm
sole
proprietorships

Nonfarm sole
proprietorships
registered
as LLCs

LLCs percentage
of all
nonfarm sole
proprietorships

(1)

(2)

(3)

All nonfarm
sole
proprietorships
(4)

Net income less deficit

Nonfarm sole
proprietorships
registered
as LLCs

LLCs percentage
of all
nonfarm sole
proprietorships

(5)

(6)

All nonfarm
sole
proprietorships
(7)

Nonfarm sole
proprietorships
registered
as LLCs

LLCs percentage
of all
nonfarm sole
proprietorships

(8)

(9)

2001

18,338,190

126,437

0.7

1,016,834,678

23,357,818

2.3

217,385,116

2,259,135

1.0

2002

18,925,517

145,839

0.8

1,029,691,760

39,239,656

3.8

221,113,286

3,378,774

1.5

2003

19,710,079

220,615

1.1

1,050,202,446

55,626,849

5.3

230,308,100

3,847,617

1.7

2004

20,590,691

309,665

1.5

1,139,523,760

82,850,651

7.3

247,567,189

6,743,666

2.7

2005

21,467,566

455,734

2.1

1,222,880,231

119,603,018

9.8

269,919,995

10,902,821

4.0

2006

22,074,953

606,889

2.7

1,278,359,791

151,746,232

11.9

278,032,643

14,270,523

5.1

2007

23,122,698

746,885

3.2

1,324,403,080

185,837,712

14.0

280,557,010

16,235,182

5.8

2008

22,614,483

842,819

3.7

1,317,443,005

205,646,039

15.6

264,508,362

18,215,151

6.9

2009

22,659,976

991,809

4.4

1,178,437,093

205,194,197

17.4

244,821,815

18,522,837

7.6

2010

23,003,656

1,059,910

4.6

1,195,538,629

220,116,934

18.4

267,699,702

23,915,511

8.9

2011

23,426,940

1,125,132

4.8

1,265,939,196

244,024,850

19.3

282,649,926

27,093,827

9.6

2012

23,553,850

1,324,196

5.6

1,301,569,749

291,350,534

22.4

304,895,911

35,841,019

11.8

2013

24,074,684

1,474,592

6.1

1,341,571,082

316,224,871

23.6

302,269,621

37,151,475

12.3

2014

24,631,831

1,619,099

6.6

1,393,884,201

342,093,644

24.5

317,058,087

43,427,440

13.7

2015

25,226,245

1,715,430

6.8

1,443,584,972

370,123,809

25.6

331,832,538

48,902,901

14.7

2016

25,525,915

1,868,459

7.3

1,422,204,586

399,904,053

28.1

328,209,453

51,214,709

15.6

2017

26,426,406

2,066,851

7.8

1,531,346,020

449,128,268

29.3

346,241,776

55,889,306

16.1

2018

27,117,163

2,119,147

7.8

1,589,748,596

459,459,012

28.9

348,509,654

55,514,156

15.9

2019

27,817,189

2,460,292

8.8

1,639,728,938

504,169,598

30.7

355,177,263

62,278,066

17.5

2020

28,353,367

2,783,413

9.8

1,605,197,079

518,629,767

32.3

337,201,262

66,352,083

19.7

2021

29,309,596

3,144,816

10.7

1,868,021,679

630,691,672

33.8

411,308,783

83,575,827

20.3

SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

for $320 billion in business receipts. The transportation and
warehousing sector had the largest percentage increase in returns (11.3%), while the wholesale trade sector had the highest percentage increase in receipts (28.8%). Total nonfarm sole
proprietorship profits for 2021 increased 22% to $411.3 billion
representing the largest percentage increase in the 34 years of
this study. The professional, scientific, and technical services
sector had the largest profits of any sector, at $99.1 billion, representing 24.1% of total sole proprietorship profits, followed by
the construction sector, at $50.4 billion or 12.3% of total profits.

100%. The 2021 nonfarm sole proprietorship data are based on
a sample of 124,469 returns and a population of 29,683,691 returns.11 The corresponding data for 2020 were based on a sample
of 104,228 returns and a population of 28,737,055 returns.
Since the data presented in this article are estimates based
on a sample of returns filed, they are subject to sampling error.
To 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 K
presents estimated coefficients of variation for total business receipts, total business deductions, depreciation, net income, and
deficit by selected industrial sector. Generally, the smaller the
coefficient of variation, the more reliable the estimate is judged
to be. The SOI Sampling Methodology and Data Limitations
Section of the SOI Bulletin, available at http://www.irs.gov/
pub/irs-soi/sampling.pdf, discusses the reliability of estimates
based on samples and the use of coefficients of variation for
evaluating the precision of estimates based on samples.

Data Sources and Limitations

The 2021 sole proprietorship estimates are based on a stratified
probability sample of unaudited Forms 1040, U.S. Individual
Income Tax Returns (including electronically filed returns),
processed by the Internal Revenue Service during Calendar
Year 2021. 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 0.1% to

Adrian Dungan is an economist with the Individual Special Studies
Section. This article was prepared under the direction of Michael
Strudler, Management and Program Analyst, Individual and Tax-Exempt
Branch.

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 and tentative returns are not reflected in these statistics.
11

Statistics of Income Bulletin

8

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Figure K
Nonfarm Sole Proprietorships: Coefficients of Variation for Selected Items, by Selected Industrial Sector, Tax Year 2021
[Coefficients of variation are in percentages]
Coefficients of variation

Industrial sector
(NAICS Code range)

All industries (000000-999999)
Construction (236100-238990)
Wholesale trade (423100-425120)
Retail trade (441110-454390)
Transportation and warehousing (481000-493100)
Finance and insurance (522100-525990)
Real estate and rental leasing (531100-533110)
Professional, scientific, and technical services (541100-541990)
Administrative and support and waste management services (561110-562000)
Health care and social assistance (621111-624410)
Arts, entertainment, and recreation (711100-713900)
Other services (811110-813000)
All other industries

Total business
receipts

Total business
deductions

Depreciation [1]

Net income

Deficit

(1)

(2)

(3)

(4)

(5)

0.55
1.92
4.48
2.30
2.10
2.00
2.33
1.64
2.67
1.87
3.12
2.40
2.07

0.62
2.02
4.61
2.31
2.10
2.06
2.66
2.03
3.00
1.95
3.24
2.63
2.10

1.41
3.90
9.08
5.02
3.91
8.16
4.06
5.38
5.75
5.68
5.76
5.65
3.50

0.69
2.26
6.17
3.30
2.68
3.16
2.76
1.82
2.80
2.48
3.80
2.52
2.61

1.27
4.79
9.17
3.84
4.44
4.57
4.59
4.19
5.06
5.71
5.18
4.48
3.39

[1] Excludes depreciation claimed on Form 8829, Expenses for Business Use of Your Home.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns, March 2024.

Statistics of Income Bulletin

9

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 1. Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net Income, by
Industrial Sectors, Tax Year 2021
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Businesses with and without net income
Industrial sector

All nonfarm industries

Number
of returns

Business
receipts

Depreciation
deduction [1]

Rent paid
on machinery
and
equipment

Rent paid
on other
business
property

Interest paid
deduction [2]

Payroll [3]

Net income
less deficit

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

66,972,356

13,440,301

44,567,623

10,668,397

154,107,825

411,308,783

323,256

25,372,844

2,573,759

200,222

355,176

289,714

1,994,327

1,832,215

Animal production (including breeding of cats and dogs)

56,450

2,423,541

276,318

7,224

21,193

22,333

233,590

-236,997

Forestry and logging (including forest nurseries, timber tracts)

36,943

6,730,560

749,490

62,450

11,081

76,915

462,031

450,502

Fishing, hunting, and trapping

69,523

3,506,200

498,854

4,160

128,390

37,121

104,954

508,230

Support activities for agriculture and forestry

160,339

12,712,542

1,049,098

126,388

194,512

153,345

1,193,751

1,110,480

Agriculture, forestry, hunting, and fishing

Mining
Oil and gas extraction

29,309,596 1,868,021,679

87,049

8,241,043

728,041

35,319

66,877

94,904

708,332

943,367

67,876

5,285,091

452,894

17,728

35,253

68,078

244,937

690,747

Other mining

4,983

671,283

101,096

7,118

20,333

9,748

128,383

-37,638

Support activities for mining

14,191

2,284,669

174,051

10,474

11,291

17,077

335,012

290,258

Utilities

16,954

679,331

116,581

9,345

10,984

4,454

49,859

64,345

3,145,504

320,021,155

10,857,385

2,153,838

2,556,570

1,217,198

37,386,698

50,439,871

Construction of buildings

673,981

91,597,444

2,409,625

435,418

514,017

462,112

9,860,934

11,995,791

Heavy and civil engineering construction

51,166

9,647,915

799,058

98,416

76,793

132,060

1,284,798

622,098

2,420,357

218,775,796

7,648,703

1,620,004

1,965,760

623,025

26,240,967

37,821,983

Construction

Specialty trade contractors
Manufacturing

380,518

38,850,168

1,846,060

199,235

1,065,461

231,868

5,130,486

3,661,101

Food manufacturing

65,743

6,937,762

297,061

63,441

254,800

56,774

930,685

39,343

Textile and textile product mills

9,812

494,293

13,248

* 11,105

* 14,458

* 1,827

* 43,810

52,255

Apparel

35,188

1,141,223

66,862

** 12,993

** 55,318

2,296

214,509

49,018

Leather and allied products

4,634

200,575

* 5,351

**

**

* 5,723

* 3,237

9,245

Wood products

27,662

3,857,749

252,205

9,921

31,056

** 20,370

500,284

390,980

Paper products

* 1,029

* 365,555

* 18,542

* 180

* 2,859

**

* 26,221

* -34,893

Printing and related support activities

29,220

1,282,033

108,468

6,524

60,869

13,955

129,444

-105,071

Petroleum and coal products

3,420

173,711

* 6,187

**

**

* 726

* 16,726

92,880

Chemical manufacturing

19,451

2,488,634

58,962

** 1,827

** 153,276

8,788

271,076

383,135

Plastic and rubber products

2,484

489,570

17,336

* 7,554

11,334

* 1,730

114,812

92,319

Nonmetallic mineral products

8,798

1,044,025

117,414

13,992

10,677

6,752

135,268

109,691

Primary metal industries

3,293

410,546

39,974

* 740

* 4,111

* 388

* 62,404

30,879

Fabricated metal products

32,878

5,509,015

253,938

9,290

87,361

43,367

889,222

539,836

Machinery

24,211

2,146,751

130,463

18,583

43,072

8,864

329,702

343,910

Computer and electronic products

5,992

643,331

12,344

* 3,594

25,796

* 3,082

57,269

121,880

Electrical equipment, appliances, and components

9,639

799,333

35,554

* 3,161

30,849

6,064

126,962

16,887

Transportation equipment

13,995

2,035,395

83,165

15,192

8,693

17,260

194,464

207,785

Furniture and related products

22,142

1,888,381

62,097

* 2,285

107,204

15,447

242,608

315,210

Miscellaneous manufacturing

60,926

6,942,285

266,887

18,854

163,731

18,454

841,784

1,005,813
5,981,869

Wholesale trade (merchant wholesalers)

363,712

63,933,685

1,085,752

226,288

950,462

213,815

2,340,052

Durable goods, including machinery, wood, metals, etc.

175,600

30,712,247

616,939

82,992

464,402

105,270

1,220,133

2,852,902

Nondurable goods, including food, fiber, chemicals, etc.

112,472

24,906,853

349,531

106,468

421,364

89,404

910,648

1,821,197

Wholesale electronic markets and agents and brokers

75,640

8,314,585

119,282

36,828

64,697

19,141

209,271

1,307,770

2,687,846

222,760,103

3,806,910

703,674

5,779,508

912,036

11,217,541

17,086,862

Motor vehicle and parts dealers

134,142

47,395,099

623,916

69,842

693,100

258,132

2,062,611

1,993,388

Furniture and home furnishing stores

29,777

4,761,091

87,959

7,492

219,654

24,212

454,414

433,707

Electronic stores and household appliance stores

13,712

3,539,255

46,399

* 76,869

97,944

4,256

231,935

405,523

Retail trade

Building material and garden equipment and supplies dealers

44,349

9,387,773

264,691

42,403

215,829

29,517

777,193

609,340

Food and beverage stores

103,209

26,905,098

331,679

90,176

737,551

90,150

2,196,619

1,248,537

Health and personal care stores

180,311

8,929,836

106,590

35,659

302,002

39,944

581,359

786,331

7,779

14,789,373

213,994

21,790

160,167

74,190

704,977

267,423

Clothing and accessories stores

189,049

13,884,341

139,604

70,491

830,552

46,273

682,519

1,136,208

Sporting goods, hobby, book, and music stores

121,490

9,996,686

265,221

19,385

318,491

51,584

557,562

699,049

General merchandise stores

34,592

4,472,118

86,645

31,189

123,801

28,037

193,719

283,021

Miscellaneous store retailers

638,299

36,790,024

720,009

164,467

1,486,055

139,743

1,918,577

4,091,350

Electronic shopping and mail-order houses

333,119

17,667,656

167,253

29,115

243,327

25,813

220,161

1,204,008

Nonstore retailers

858,021

24,241,752

752,949

44,796

351,034

100,186

635,894

3,928,977

Gasoline stations

Footnotes at end of table.

Statistics of Income Bulletin

10

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 1. Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net Income, by
Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Businesses with net income
Industrial sector

All nonfarm industries
Agriculture, forestry, hunting, and fishing

Number
of returns

Business
receipts

(9)

(10)

21,101,950 1,573,134,374

Depreciation
deduction [1]
(11)

Rent paid
on machinery
and
equipment
(12)

Rent paid
on other
business
property

Interest paid
deduction [2]

(13)

37,133,438

9,465,204

(14)

Payroll [3]

Net income

(15)

(16)

31,845,757

5,839,199

115,701,205

516,804,183

193,428

19,572,074

1,206,750

104,754

180,383

126,075

1,263,235

4,145,944

Animal production (including breeding of cats and dogs)

24,118

1,774,601

54,081

* 5,373

* 10,151

7,368

184,303

464,641

Forestry and logging (including forest nurseries, timber tracts)

23,278

5,416,835

477,955

46,407

6,050

37,273

253,153

770,204

Fishing, hunting, and trapping

40,035

2,856,277

243,144

* 182

42,190

14,690

37,505

850,093

Support activities for agriculture and forestry

105,997

9,524,361

431,569

52,792

121,992

66,744

788,274

2,061,005

Mining
Oil and gas extraction

62,784

5,896,996

233,934

18,830

45,306

30,087

322,636

1,858,268

49,081

3,855,588

118,270

10,672

21,497

20,539

100,022

1,350,664

Other mining

3,881

323,251

15,379

* 2,121

* 18,825

1,575

56,914

66,208

Support activities for mining

9,821

1,718,157

100,285

6,038

4,984

7,974

165,700

441,396

Utilities

11,244

501,237

17,003

* 2,287

8,644

1,967

* 22,608

182,855

2,538,665

277,628,302

7,292,515

1,604,320

1,840,063

763,557

29,995,891

60,223,309

Construction of buildings

549,279

77,728,314

1,713,433

325,979

402,549

280,983

7,854,381

14,616,424

Heavy and civil engineering construction

34,940

7,484,306

360,199

58,382

56,656

82,017

831,492

1,286,117

1,954,445

192,415,682

5,218,882

1,219,959

1,380,858

400,556

21,310,019

44,320,768

Construction

Specialty trade contractors
Manufacturing

234,213

31,336,318

1,045,592

147,516

722,058

117,467

3,682,539

6,011,933

Food manufacturing

36,065

5,131,408

114,936

53,697

150,690

18,324

490,414

733,318

Textile and textile product mills

6,033

478,209

* 8,431

* 8,989

* 14,250

* 1,791

* 40,993

88,209

Apparel

17,735

860,234

** 57,873

** 7,448

** 13,854

** 1,792

** 168,770

210,473

Leather and allied products

* 3,297

* 70,857

**

**

**

**

**

* 16,815

Wood products

18,626

3,076,386

** 148,769

** 5,872

19,647

** 13,098

375,118

480,629

Paper products

*5

* 74,653

**

**

* 1,532

**

* 4,446

* 7,133

11,211

945,102

16,102

* 1,144

46,011

2,016

107,168

212,413

Printing and related support activities
Petroleum and coal products

2,415

134,084

* 2,290

**

**

**

**

99,248

Chemical manufacturing

10,244

2,099,406

29,694

** 1,476

** 61,117

** 6,450

** 189,051

507,348

Plastic and rubber products

2,290

337,541

5,495

* 4,095

* 4,131

* 313

76,816

120,641

Nonmetallic mineral products

6,450

920,633

87,834

* 3,234

9,741

4,772

112,578

132,976

Primary metal industries

1,098

390,902

* 29,744

* 260

* 3,297

* 386

* 58,420

52,888

Fabricated metal products

19,755

4,701,468

175,628

5,684

73,110

28,549

707,768

766,170

Machinery

18,699

1,890,207

63,212

* 18,181

38,556

8,340

281,252

463,649

Computer and electronic products

5,390

554,931

6,972

* 3,570

* 21,674

* 815

* 30,741

130,190

Electrical equipment, appliances, and components

5,728

727,593

* 21,840

* 3,152

* 25,160

* 3,524

* 112,723

73,879

Transportation equipment

10,830

1,678,681

72,007

* 15,108

* 6,244

* 12,831

* 140,386

230,261

Furniture and related products

13,568

1,549,167

39,700

* 1,953

90,177

6,166

182,764

400,618

Miscellaneous manufacturing

44,776

5,714,857

165,066

13,654

142,867

8,298

603,132

1,285,075
8,104,283

Wholesale trade (merchant wholesalers)

236,118

53,374,532

561,418

168,935

644,696

120,087

1,653,268

Durable goods, including machinery, wood, metals, etc.

116,528

25,758,957

285,555

64,791

326,976

50,053

801,799

4,063,471

Nondurable goods, including food, fiber, chemicals, etc.

75,931

19,997,358

194,134

99,161

284,372

62,528

671,753

2,465,389

Wholesale electronic markets and agents and brokers

43,659

7,618,217

81,729

4,982

33,348

7,506

179,715

1,575,423

1,544,063

184,385,789

2,194,984

430,462

4,069,711

545,049

8,711,570

28,309,734

Motor vehicle and parts dealers

84,403

38,305,579

391,264

41,680

365,793

168,283

1,680,272

3,199,889

Furniture and home furnishing stores

16,868

3,949,414

55,621

1,902

142,855

21,090

395,031

571,311

Electronic stores and household appliance stores

11,368

3,207,030

34,082

* 75,060

89,159

3,186

183,243

459,997

Building material and garden equipment and supplies dealers

28,164

8,000,121

160,937

32,083

194,588

22,475

609,228

910,276

Food and beverage stores

64,031

22,482,144

172,739

65,184

553,652

46,008

1,598,248

1,864,213

Health and personal care stores

94,668

7,550,642

57,379

23,592

250,028

26,051

428,442

1,385,177

Gasoline stations

5,703

11,672,479

120,083

17,438

142,033

45,480

554,060

389,222

Clothing and accessories stores

95,598

12,339,511

90,434

22,943

698,626

24,883

570,947

2,109,562

Sporting goods, hobby, book, and music stores

69,560

8,372,824

163,503

8,227

219,059

33,441

415,690

1,294,805

General merchandise stores

21,749

3,686,275

62,908

* 9,602

107,961

24,978

136,243

352,844

Miscellaneous store retailers

379,793

30,675,779

390,556

96,999

956,297

74,620

1,559,972

6,551,339

Electronic shopping and mail-order houses

184,087

14,560,885

52,953

13,912

143,171

11,878

171,252

2,451,017

Nonstore retailers

488,071

19,583,105

442,527

21,839

206,487

42,675

408,942

6,770,083

Retail trade

Footnotes at end of table.

Statistics of Income Bulletin

11

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 1. Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net Income, by
Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Businesses with and without net income
Industrial sector

Number
of returns

Business
receipts

(1)

Depreciation
deduction [1]

Rent paid
on machinery
and
equipment

Rent paid
on other
business
property

Interest paid
deduction [2]

Net income
less deficit

Payroll [3]

(2)

(3)

(4)

(5)

(6)

3,671,901

176,241,606

11,498,563

4,045,266

1,688,163

960,881

7,833,922

24,873,893

Air and rail transportation

20,870

2,296,722

685,414

12,496

48,126

43,898

166,685

-337,218

Water transportation

5,584

1,391,180

261,077

1,789

13,631

33,583

317,950

-68,859

Truck transportation

813,975

112,047,563

8,073,027

2,608,138

929,398

646,870

5,065,881

15,928,957
4,313,164

Transportation and warehousing

Taxi, limousine service, and ridesharing service

(7)

(8)

1,121,324

28,793,892

804,291

931,342

304,966

74,971

221,979

Other transit and ground transportation

131,754

5,237,772

** 363,599

** 132,643

** 60,888

** 40,661

** 434,208

771,157

Pipeline transportation

* 1,281

* 126,893

**

**

**

**

**

* 30,078
-165,712

Scenic and sightseeing transportation

12,237

725,698

289,260

* 19,389

44,184

40,089

53,946

Support activities for transportation (including motor vehicle towing)

88,721

7,472,027

423,903

44,606

117,446

39,322

909,484

727,448

1,458,044

17,260,814

514,828

286,639

119,693

37,773

575,690

3,646,386

Couriers and messengers
Warehousing and storage facilities

18,110

889,046

83,164

8,224

49,831

3,715

88,098

28,493

481,912

15,394,865

744,950

202,306

359,569

199,241

1,035,762

4,165,066

Publishing industries (except internet)

39,430

1,184,427

32,793

6,486

37,463

3,067

63,923

311,343

Motion picture and sound recording

213,463

6,101,942

317,404

84,391

239,100

160,093

437,222

1,571,719

Broadcasting (except internet) and telecommunications and internet
service providers

62,536

3,756,935

238,116

91,013

40,597

18,600

258,160

651,972

Information

Data processing, internet publishing and broadcasting, and web
search portals
Finance and insurance

166,484

4,351,561

156,637

20,416

42,409

17,481

276,457

1,630,032

718,896

122,980,785

1,835,363

312,292

1,709,078

1,017,384

6,028,236

27,483,336

Credit intermediation and related activities

40,366

4,176,335

87,536

32,134

49,356

57,062

247,501

1,213,819

Securities, commodity contracts, and other financial investments

234,090

80,737,761

940,275

97,644

782,499

710,691

2,969,237

12,704,442

Investment bankers and securities dealers

7,841

8,366,051

68,875

1,487

38,302

10,075

121,271

717,292

Securities brokers

10,972

7,099,281

18,447

5,371

33,589

9,750

84,352

1,113,438

Commodity contracts brokers and dealers

27,368

1,981,307

117,554

** 1,980

5,691

4,859

125,119

18,341

Securities and commodity exchanges

4,029

1,095,936

1,238

**

* 1,555

14,691

* 7,126

-22,999

Other financial investment activities (investment advice)

183,879

62,195,185

734,162

88,806

703,362

671,316

2,631,370

10,878,370

Insurance agents, brokers, and related activities

433,037

37,440,024

757,646

144,785

873,724

249,071

2,739,916

13,524,911

Insurance agencies and brokerages

331,108

30,035,669

502,745

120,223

780,024

224,418

2,249,078

10,797,579

Other insurance related activities and other financial vehicles

101,929

7,404,355

254,902

24,562

93,700

24,654

490,838

2,727,332

Funds, trusts, and other financial vehicles

11,404

626,665

49,906

* 37,730

* 3,499

* 560

* 71,582

40,164

1,499,713

127,113,590

6,293,246

513,573

1,907,949

1,257,312

4,161,495

46,166,201

1,415,352

119,453,905

3,765,038

430,380

1,748,991

1,066,439

3,773,243

46,609,711

63,579

4,153,649

584,571

33,125

134,097

248,446

185,570

418,237

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

1,079,609

83,553,646

2,182,988

291,890

1,187,213

395,109

2,337,230

38,384,074

Other activities related to real estate

272,163

31,746,610

997,479

105,365

427,680

422,884

1,250,443

7,807,399

Rental and leasing services

82,265

7,626,463

2,525,963

83,193

157,564

** 190,874

** 388,252

-429,899

Automotive equipment rental and leasing

31,106

1,468,715

532,819

11,588

33,646

41,952

46,019

21,659

Consumer electronics and appliances rental

** 2,959

** 109,900

** 32,122

0

** 1,372

* 1,291

** 1,881

** -8,483
**

Formal wear and costume rental

**

**

0

0

0

0

0

Video tape and disc rental

0

0

0

0

0

0

0

0

Home health equipment rental

**

**

**

0

**

0

**

**

Recreational goods rental

5,381

294,082

64,304

* 514

* 3,492

* 3,454

* 601

-58,172

All other consumer goods rental

16,504

1,141,391

225,117

5,313

45,713

21,993

66,201

-42,236

General rental centers and other consumer goods rental

7,809

547,184

80,185

25,088

19,774

11,001

28,498

-27,498

Commercial and industrial machinery and equipment rental and
leasing

18,507

4,065,191

1,591,415

40,690

53,566

** 111,184

** 245,051

-315,170

Lessors of nonfinancial intangible assets (except copyrighted works)

2,096

33,222

* 2,245

0

* 1,394

**

**

-13,611

3,680,180

227,310,962

5,606,931

979,042

4,802,458

916,956

17,738,111

99,113,793

Legal services

313,646

39,579,912

442,439

126,734

1,518,756

176,746

4,163,821

18,135,151

Offices of certified public accountants

30,248

4,154,591

56,074

21,023

142,278

21,398

709,367

1,929,098

Other accounting services

320,671

11,169,859

320,764

69,055

376,851

60,108

1,258,039

4,729,555

Architectural, engineering, and related services

286,025

18,611,029

736,017

114,504

327,584

86,573

2,113,938

6,433,831

Architectural services

132,921

8,199,808

327,461

83,335

207,566

28,439

1,036,836

2,121,853

Engineering services

82,764

6,853,587

180,637

22,485

87,658

49,803

678,887

2,889,415

Drafting, building inspections, and geophysical surveying

53,797

2,329,733

181,632

* 8,387

10,995

* 2,278

230,742

1,024,330

Surveying and mapping (except geophysical) services

9,581

606,319

26,582

* 255

* 3,691

* 1,337

* 76,121

270,222

Testing laboratories

6,962

621,583

* 19,704

* 42

* 17,675

* 4,716

* 91,352

128,011

Professional, scientific, and technical services

Footnotes at end of table.

Statistics of Income Bulletin

12

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 1. Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net Income, by
Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Businesses with net income
Industrial sector

Number
of returns

Business
receipts

(9)
Transportation and warehousing

Depreciation
deduction [1]

(10)

Rent paid
on machinery
and
equipment

Rent paid
on other
business
property

Interest paid
deduction [2]

Payroll [3]

Net income

(11)

(12)

(13)

(14)

(15)

6,943,101

3,190,154

1,129,702

620,046

5,574,690

35,114,501

(16)

3,942

9,388

10,550

107,852

411,802

* 1,023

11,476

7,003

217,105

171,176

648,953

479,155

3,583,675

19,037,741

2,774,443

152,812,426

Air and rail transportation

11,934

1,422,403

84,076

Water transportation

3,945

816,727

40,310

Truck transportation

680,884

97,794,831

5,627,289

2,092,341

Taxi, limousine service, and ridesharing service

796,120

25,716,400

405,216

762,618

225,240

34,615

154,932

7,062,741

Other transit and ground transportation

91,443

4,473,943

** 246,280

** 82,150

** 33,227

** 32,451

** 295,965

1,273,723
* 31,600

Pipeline transportation

* 1,159

* 84,527

**

**

**

**

**

Scenic and sightseeing transportation

4,503

385,723

79,321

* 17,841

* 6,891

* 4,379

* 26,962

60,760

Support activities for transportation (including motor vehicle towing)

63,615

6,538,853

254,809

35,984

99,684

24,297

762,409

1,153,222

1,109,082

14,901,563

176,102

187,747

65,680

24,679

365,554

5,760,346

11,758

677,457

29,697

6,508

29,164

2,916

60,237

151,389

321,708

12,769,750

408,967

150,006

222,051

32,809

590,067

6,089,156

Couriers and messengers
Warehousing and storage facilities
Information
Publishing industries (except internet)

28,043

896,942

4,149

* 1,035

22,164

* 256

19,784

378,256

Motion picture and sound recording

129,983

4,938,132

156,561

44,859

156,627

9,970

258,701

2,560,612

Broadcasting (except internet) and telecommunications and internet
service providers

44,882

3,207,947

163,785

84,375

29,807

9,194

168,091

964,656

Data processing, internet publishing and broadcasting, and web
search portals
Finance and insurance

118,799

3,726,729

84,472

19,738

13,453

13,390

143,492

2,185,632

491,645

76,893,824

927,604

251,930

1,359,761

462,049

4,270,781

32,860,244

Credit intermediation and related activities

27,752

3,770,788

41,096

28,062

21,766

23,987

180,253

1,560,607

Securities, commodity contracts, and other financial investments

149,915

40,821,041

394,040

65,129

580,956

263,783

1,718,278

16,375,650

Investment bankers and securities dealers

5,738

3,309,772

40,222

988

26,018

5,163

91,101

845,671

Securities brokers

6,511

3,523,982

12,555

5,228

26,711

4,074

81,669

1,198,358

Commodity contracts brokers and dealers

19,562

849,888

1,734

* 1,324

* 4,654

* 1,752

* 4,230

294,933

Securities and commodity exchanges

2,370

257,038

* 511

0

* 1,169

* 179

* 7,124

47,446

Other financial investment activities (investment advice)

115,734

32,880,361

339,019

57,589

522,404

252,615

1,534,154

13,989,243

Insurance agents, brokers, and related activities

306,160

31,799,480

481,169

121,081

755,050

173,850

2,320,002

14,820,197

Insurance agencies and brokerages

235,857

25,402,961

323,533

105,306

687,762

152,433

1,944,802

11,716,193

Other insurance related activities and other financial vehicles

70,303

6,396,518

157,636

15,775

67,288

21,416

375,200

3,104,004

Funds, trusts, and other financial vehicles

7,818

502,515

* 11,299

* 37,658

* 1,989

* 429

* 52,248

103,790

1,003,303

111,653,454

2,680,059

322,419

1,348,664

559,993

2,669,448

54,483,695

Real estate

960,362

106,884,940

1,931,318

282,269

1,275,513

481,677

2,499,108

53,415,047

Lessors of real estate (including miniwarehouses and self storage)

28,336

3,112,176

203,067

16,369

76,203

103,517

66,731

1,222,077

Real estate and rental and leasing

Offices of real estate agents, brokers, property managers, and
appraisers

762,455

76,052,630

1,325,793

203,529

880,910

172,790

1,651,671

41,884,659

Other activities related to real estate

169,572

27,720,134

402,458

62,371

318,399

205,371

780,706

10,308,311

Rental and leasing services

41,900

4,745,869

** 748,741

40,151

72,204

** 78,316

** 170,341

1,063,956

Automotive equipment rental and leasing

16,614

1,012,887

169,156

* 8,215

* 12,320

20,984

* 17,118

345,602

Consumer electronics and appliances rental

* 1,319

* 58,654

* 12,307

0

** 1,372

* 1,291

** 1,881

6,260

Formal wear and costume rental

0

0

0

0

0

0

0

0

Video tape and disc rental

0

0

0

0

0

0

0

0

Home health equipment rental

0

0

0

0

**

0

**

**

Recreational goods rental

* 1,005

* 22,758

* 20

*5

0

*7

* 67

* 21,083

All other consumer goods rental

8,496

931,874

112,265

* 1,820

13,998

3,068

33,371

170,052

General rental centers and other consumer goods rental

3,751

446,627

53,791

* 10,996

* 9,394

* 4,509

* 21,902

42,378

Commercial and industrial machinery and equipment rental and
leasing

10,715

2,273,071

** 401,202

19,114

35,120

** 48,457

** 96,002

478,583

Lessors of nonfinancial intangible assets (except copyrighted works)

1,041

22,644

**

0

* 947

**

**

4,691

2,639,519

206,840,016

3,029,154

678,229

3,855,767

565,718

14,556,089

110,756,388

Legal services

241,607

37,694,581

313,782

107,941

1,393,991

118,830

3,666,050

19,093,405

Offices of certified public accountants

24,955

4,004,966

52,587

21,011

135,601

20,321

676,491

1,942,412

Other accounting services

250,918

9,925,457

224,712

54,878

334,828

42,899

717,378

5,299,260

Architectural, engineering, and related services

200,539

16,354,584

388,106

73,621

238,632

32,428

1,832,030

7,537,019

Architectural services

89,214

7,132,202

194,777

47,750

158,219

19,078

851,324

2,692,503

Engineering services

54,921

5,989,273

115,045

17,315

51,832

6,542

587,261

3,275,435

Drafting, building inspections, and geophysical surveying

42,084

2,038,043

33,953

* 8,284

* 7,323

* 923

228,249

1,159,300

Surveying and mapping (except geophysical) services

8,384

574,308

* 24,626

* 230

* 3,583

* 1,170

* 73,844

272,742

Testing laboratories

5,936

620,757

* 19,704

* 42

* 17,675

* 4,716

* 91,352

137,040

Professional, scientific, and technical services

Footnotes at end of table.

Statistics of Income Bulletin

13

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 1. Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net Income, by
Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Businesses with and without net income
Industrial sector

Number
of returns
(1)

Specialized design services
Computer systems design services

287,701

Business
receipts

Depreciation
deduction [1]

Rent paid
on machinery
and
equipment

Rent paid
on other
business
property

Interest paid
deduction [2]

Payroll [3]

(2)

(3)

(4)

(5)

(6)

(7)

328,820

30,646

392,272

11,846,074

343,065

64,583

Net income
less deficit
(8)
3,807,870

315,741

17,563,162

396,704

74,914

234,497

53,996

1,237,248

7,503,771

Other professional, scientific, and technical services

2,126,147

124,386,335

3,311,868

508,229

1,873,672

487,488

7,863,425

56,574,518

Management, scientific, and technical consulting services

35,862,088

1,092,076

66,257,806

1,563,092

252,120

870,012

240,664

3,516,307

Scientific research and development services

63,494

2,084,221

51,583

7,638

36,250

3,690

96,228

980,473

Advertising and related services

140,399

10,389,569

265,380

24,928

126,621

45,166

833,228

2,962,642

Market research and public opinion polling

31,660

877,663

7,479

8,277

10,925

488

31,459

456,816

Other miscellaneous services

798,517

44,777,077

1,424,334

215,267

829,864

197,480

3,386,204

16,312,500

2,775,909

100,198,349

5,154,683

874,646

1,233,980

532,520

11,768,774

26,450,619

9,663

1,016,420

45,469

4,151

34,604

8,222

119,115

97,361

2,741,670

95,310,787

4,693,261

859,952

1,134,793

491,765

11,098,324

26,005,000

Administrative and support and waste management services
Management of companies and enterprises
Administrative and support services
Waste management and remediation services

24,577

3,871,143

415,954

10,544

64,582

32,533

551,335

348,258

829,879

14,870,686

497,836

100,009

835,379

56,835

1,012,216

4,520,775

Health care and social assistance

2,190,047

129,104,086

3,079,730

644,631

5,602,190

675,183

19,379,609

47,696,859

Ambulatory health care services

1,314,471

99,705,277

2,364,230

492,603

4,400,613

481,374

14,757,481

38,024,946

Offices of physicians (except mental health specialists)

188,225

29,036,013

506,950

104,968

947,810

74,720

3,872,923

13,295,837

Offices of physicians, mental health specialists

48,887

5,670,622

91,892

30,021

263,997

41,974

340,466

3,341,127

Offices of dentists

60,440

20,051,278

664,757

90,146

895,809

175,728

4,876,494

5,621,589

Offices of chiropractors

27,146

3,351,802

85,591

11,533

334,931

32,388

395,479

1,154,426

Offices of optometrists

10,312

3,534,352

109,137

18,730

231,476

20,521

800,135

677,352

Offices of mental health practitioners and social therapists

262,776

13,946,163

303,828

62,381

763,134

29,852

898,478

7,193,039

Educational services

Offices of podiatrists
Outpatient care centers and other miscellaneous health practitioners

4,553

1,147,264

7,668

2,810

67,579

3,730

208,961

454,823

227,333

9,398,848

305,675

40,543

509,495

51,366

815,699

3,291,690

Medical and diagnostic laboratories

26,323

1,467,659

37,816

9,397

52,058

2,151

217,475

381,743

Home health care services

403,454

10,420,544

221,392

113,335

313,689

45,207

2,127,370

2,168,467

Other ambulatory health care services (including ambulance services,
blood and organ banks)

55,022

1,680,733

29,523

8,740

20,635

3,738

204,000

444,854

Hospitals

5,032

1,580,195

28,428

* 6,177

91,514

13,010

564,603

288,701
1,225,304

Nursing and residential care facilities

113,948

7,392,872

111,379

40,585

312,180

115,213

1,775,288

Social assistance

756,595

20,425,741

575,693

105,265

797,882

65,586

2,282,238

8,157,908

1,626,690

51,451,278

2,519,116

408,613

2,010,092

288,623

2,517,778

13,016,071
11,983,811

Arts, entertainment, and recreation
Performing arts, spectator sports, and related industries

1,426,310

38,189,385

1,631,752

196,104

1,071,071

179,150

1,340,811

Museums, historical sites, and similar institutions

6,853

182,299

12,296

* 62

* 17,663

* 4,113

* 9,426

19,784

Amusement, gambling, and recreation industries

193,527

13,079,594

875,068

212,447

921,358

105,359

1,167,541

1,012,476

Accommodation, food services, and drinking places

609,185

78,197,453

3,342,341

497,532

4,467,378

914,732

13,511,846

3,377,549

Accommodation

69,383

7,946,616

1,007,943

21,798

243,308

441,710

922,580

-170,437

Travel accommodation (including hotels, motels, and bed and
breakfast inns)

40,201

6,307,091

816,306

16,612

186,520

378,917

755,881

-224,328

RV (recreational vehicle) parks and recreational camps

9,795

940,242

133,695

1,844

8,986

36,532

85,224

45,704

Rooming and boarding houses

19,386

699,283

57,942

* 3,342

47,802

26,261

81,475

8,186

Restaurants (full & limited service) and drinking places

539,802

70,250,837

2,334,397

475,734

4,224,070

473,022

12,589,266

3,547,986
31,614,190

Other services

3,704,281

136,954,480

5,100,027

1,232,045

9,005,533

867,944

9,970,984

Auto repair and maintenance

449,749

33,803,068

1,498,229

255,567

1,685,309

315,492

3,105,340

4,093,682

Automotive mechanical and electrical repair and maintenance

237,717

16,520,826

609,155

143,330

878,428

94,055

1,407,364

2,068,105

Automotive body shops

85,262

8,684,309

340,295

11,670

340,415

83,169

729,998

1,294,488

Other auto repair and maintenance (including oil change, lubrication,
and car washes)

126,770

8,597,934

548,780

100,567

466,466

138,268

967,978

731,090

Miscellaneous repairs

420,346

21,274,961

876,440

127,548

616,087

120,462

2,079,850

3,530,713

2,603,391

78,275,351

2,680,486

834,482

6,625,017

402,492

4,762,404

22,381,863

230,794

3,601,100

44,872

* 14,448

79,120

29,498

* 23,390

1,607,932

516,165

8,345,210

285,082

102,426

160,817

16,797

321,798

2,820,801

Personal and laundry services
Religious, grantmaking, civic, professional and similar organizations
Unclassified establishments

Footnotes at end of table.

Statistics of Income Bulletin

14

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 1. Nonfarm Sole Proprietorships: Business Receipts, Selected Deductions, Payroll, and Net Income, by
Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Businesses with net income
Industrial sector

Number
of returns
(9)

Specialized design services
Computer systems design services

193,798

Business
receipts

Depreciation
deduction [1]

Rent paid
on machinery
and
equipment

Rent paid
on other
business
property

Interest paid
deduction [2]

Payroll [3]

(10)

(11)

(12)

(13)

(14)

(15)

(16)

344,783

4,693,953

10,590,485

163,020

43,112

236,256

17,499

Net income

228,008

16,001,240

237,738

40,191

166,960

43,469

1,011,861

8,413,343

1,499,694

112,268,704

1,649,209

337,474

1,349,499

290,273

6,307,496

63,776,996

Management, scientific, and technical consulting services

768,055

60,963,748

690,592

153,848

592,061

137,422

2,643,651

39,887,334

Scientific research and development services

53,387

1,974,171

34,084

7,235

31,853

971

68,814

1,107,528

Advertising and related services

105,397

8,965,979

101,979

17,622

86,414

14,308

664,471

3,511,763

Other professional, scientific, and technical services

Market research and public opinion polling

26,721

801,835

4,689

* 4,659

6,930

* 425

31,031

494,362

Other miscellaneous services

546,134

39,562,971

817,864

154,111

632,242

137,146

2,899,529

18,776,009

2,147,652

86,101,241

3,059,105

464,646

740,986

302,980

8,637,293

34,138,016

6,337

798,094

13,066

* 3,359

15,129

1,701

72,998

236,175

2,123,348

82,174,371

2,829,336

452,961

708,192

276,116

8,194,912

33,327,400

Administrative and support and waste management services
Management of companies and enterprises
Administrative and support services
Waste management and remediation services

17,967

3,128,777

216,703

8,326

17,665

25,164

369,384

574,441

619,151

11,843,699

196,168

68,832

460,555

30,683

696,758

6,422,905

Health care and social assistance

1,685,967

113,684,969

1,970,445

448,467

4,395,279

505,585

14,898,015

53,281,096

Ambulatory health care services

976,071

89,125,389

1,501,853

364,313

3,604,678

358,538

11,903,134

42,087,899

Offices of physicians (except mental health specialists)

147,734

26,173,184

270,522

81,088

796,826

52,501

3,144,330

13,845,401

Offices of physicians, mental health specialists

42,393

5,563,361

89,806

29,550

247,161

40,468

322,328

3,392,932

Offices of dentists

49,365

18,296,983

537,752

82,795

787,927

152,706

4,308,176

5,828,670

Offices of chiropractors

21,238

3,020,891

39,896

7,365

261,770

32,047

338,805

1,255,342

Offices of optometrists

9,105

2,463,549

49,545

10,820

136,478

10,141

496,082

743,658

204,023

12,983,047

219,234

45,350

732,479

19,753

753,611

7,617,779

Educational services

Offices of mental health practitioners and social therapists
Offices of podiatrists

4,196

1,119,857

6,980

* 2,305

66,295

3,597

197,290

458,397

159,137

8,178,035

170,670

27,421

386,708

20,207

599,024

3,918,299

Medical and diagnostic laboratories

16,472

1,310,116

15,648

8,796

34,511

1,614

162,482

510,047

Home health care services

281,510

8,562,737

87,360

66,426

140,732

23,944

1,438,786

3,964,824

Other ambulatory health care services (including ambulance services,
blood and organ banks)

40,896

1,453,630

14,440

2,395

13,792

1,559

142,222

552,551

Hospitals

3,628

932,959

15,429

* 3,584

46,960

6,745

265,696

317,805
1,617,819

Outpatient care centers and other miscellaneous health practitioners

Nursing and residential care facilities

83,539

5,649,745

67,677

17,902

181,794

85,785

1,063,888

Social assistance

622,729

17,976,875

385,486

62,668

561,847

54,516

1,665,297

9,257,572

1,070,452

42,148,811

895,556

255,881

1,160,989

122,974

1,333,822

19,270,414
16,811,704

Arts, entertainment, and recreation
Performing arts, spectator sports, and related industries

944,431

32,814,539

617,766

140,285

677,805

80,358

695,109

Museums, historical sites, and similar institutions

3,448

147,073

* 813

0

* 16,982

* 139

0

59,905

Amusement, gambling, and recreation industries

122,573

9,187,200

276,977

115,596

466,202

42,477

638,713

2,398,805

Accommodation, food services, and drinking places

377,124

60,694,485

1,610,372

272,130

3,010,313

460,372

9,388,060

8,760,137

Accommodation

39,283

5,930,889

374,660

8,576

124,259

182,340

584,755

1,116,205

Travel accommodation (including hotels, motels, and bed and
breakfast inns)

20,279

4,667,368

291,660

7,383

114,991

148,449

454,375

751,854

RV (recreational vehicle) parks and recreational camps

7,788

780,286

65,485

* 1,093

* 4,032

20,871

62,885

197,185

Rooming and boarding houses

11,216

483,235

17,514

* 100

* 5,236

13,019

67,495

167,165

Restaurants (full & limited service) and drinking places

337,841

54,763,596

1,235,712

263,554

2,886,055

278,032

8,803,305

7,643,933
42,882,059

Other services

2,746,421

118,153,032

2,718,103

798,737

6,589,047

467,646

7,236,166

Auto repair and maintenance

312,769

27,811,055

757,474

150,608

1,179,430

161,337

2,233,891

6,404,727

Automotive mechanical and electrical repair and maintenance

165,322

13,903,733

363,417

77,312

636,729

45,605

1,077,241

3,183,530

Automotive body shops

67,042

7,519,134

176,653

7,812

256,914

14,774

583,183

1,710,337

Other auto repair and maintenance (including oil change, lubrication,
and car washes)

80,405

6,388,189

217,404

65,484

285,787

100,959

573,466

1,510,860

Miscellaneous repairs

290,940

18,051,407

448,434

65,901

395,078

62,990

1,258,317

5,244,420

1,975,247

69,169,065

1,500,945

569,293

4,969,356

240,537

3,721,462

29,139,774

167,466

3,121,505

11,251

* 12,934

45,182

* 2,782

* 22,496

2,093,139

404,050

6,843,418

142,608

86,669

61,781

4,055

198,269

3,909,247

Personal and laundry services
Religious, grantmaking, civic, professional and similar organizations
Unclassified establishments

* Estimate should be used with caution because of the small number of sample returns on which it is based.
** Data combined to prevent disclosure of taxpayer information.
[1] Includes depreciation claimed on Form 8829, Expenses for Business Use of Your Home.
[2] Interest paid is the sum of mortgage interest and other interest paid on business indebtedness.
[3] 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.
SOURCE: IRS, Statistics of Income Division, Sole Proprietorship Returns 2021, November 2023.

Statistics of Income Bulletin

15

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Agriculture, forestry, hunting and fishing

Net income status, item

All
nonfarm
industries

(1)

Total

Animal
production
(including
breeding
of cats and
dogs)

Forestry
and logging
(including forest
nurseries,
timber tracts)

Fishing,
hunting,
and trapping

Support
activities
for
agriculture
and forestry

(2)

(3)

(4)

(5)

(6)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

29,309,596

323,256

56,450

36,943

69,523

160,339

1,868,021,679

25,372,844

2,423,541

6,730,560

3,506,200

12,712,542
12,449,404

1,839,527,658

24,924,261

2,377,502

6,655,634

3,441,721

Other business income (loss)

28,494,021

448,583

46,039

74,927

64,479

263,138

Business deductions, total [1]

1,458,037,481

23,550,602

2,661,528

6,280,487

3,005,546

11,603,041

Cost of sales and operations, total

518,369,147

8,419,676

797,614

2,112,468

513,058

4,996,536

Inventory, beginning of year

48,318,701

459,237

56,646

67,180

48,386

287,025

Cost of labor

44,647,559

450,992

* 153,412

108,373

68,847

120,360

Purchases

299,286,515

5,838,288

373,571

1,156,814

330,045

3,977,859

Materials and supplies

81,290,917

640,671

29,672

54,101

54,168

502,729

Other costs

92,325,798

1,695,531

238,513

819,334

95,916

541,767

Inventory, end of year

47,500,342

665,043

54,200

93,333

84,305

433,205

Advertising expenses

20,836,415

87,770

17,419

13,405

16,494

40,452

Car and truck expenses

116,726,714

1,196,212

130,378

345,061

182,667

538,105

Commissions

24,422,161

73,668

35,324

11,969

8,874

17,501

Contract labor

92,405,445

1,213,496

47,918

646,253

145,341

373,985

Depletion

585,109

3,225

* 366

* 606

**

** 2,253

Depreciation

65,604,743

2,569,778

274,850

749,130

497,016

1,048,782

Employee benefit programs

3,356,224

22,469

2,462

3,294

* 1,159

15,555

Insurance

25,434,274

530,472

47,378

201,354

64,853

216,886

Legal and professional services

17,577,610

161,625

32,184

29,220

17,421

82,801

Meals deducted

15,136,746

128,142

21,529

15,128

17,727

73,758

Mortgage interest

3,557,200

99,215

* 8,435

24,806

16,450

49,523

Other interest paid on business indebtedness

7,111,196

190,500

13,898

52,109

20,670

103,822

Office expenses

19,277,866

108,547

20,628

16,061

17,890

53,968

Pension and profit-sharing plans

1,444,601

5,143

* 143

3,546

**

** 1,454

Rent paid on machinery and equipment

13,440,301

200,222

7,224

62,450

4,160

126,388

Rent paid on other business property

44,567,623

355,176

21,193

11,081

128,390

194,512

Repairs

28,340,482

991,985

76,847

348,182

194,797

372,159

Supplies

65,018,375

1,174,836

227,252

253,030

259,173

435,381

Salaries and wages

109,460,266

1,543,335

80,179

353,659

36,108

1,073,391

Taxes paid

23,369,551

306,202

24,308

70,126

37,897

173,871

Travel

16,947,268

182,826

54,109

15,282

29,303

84,132

Utilities

38,098,799

406,885

101,348

52,276

76,361

176,900

Other business expenses

174,084,529

3,507,969

604,906

877,632

687,542

1,337,889

Home office business deductions, total

12,813,156

70,316

13,634

12,361

31,254

13,067

411,308,783

1,832,215

-236,997

450,502

508,230

1,110,480

Net income [1]

516,857,530

4,145,944

464,641

770,204

850,093

2,061,005

Deficit

105,548,747

2,313,729

701,638

319,702

341,864

950,526

86,996,491

1,140,653

197,304

230,888

226,473

485,989

Net income less deficit [1]

Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

16

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]
Mining

Net income status, item

Construction

Utilities

Total

Oil
and
gas extraction

Other
mining

Support
activities for
mining

Total

Total

Construction
of
buildings

Heavy and
civil
engineering
construction

Specialty
trade
contractors

(7)

(8)

(9)

(10)

(11)

(12)

(13)

(14)

(15)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

87,049

67,876

4,983

14,191

16,954

3,145,504

673,981

51,166

2,420,357

8,241,043

5,285,091

671,283

2,284,669

679,331

320,021,155

91,597,444

9,647,915

218,775,796
216,211,308

7,833,543

4,990,091

664,411

2,179,041

664,531

316,543,685

90,785,897

9,546,480

Other business income (loss)

407,500

295,000

6,873

105,628

14,799

3,477,471

811,547

101,435

2,564,489

Business deductions, total [1]

7,340,934

4,637,310

709,213

1,994,411

615,095

269,640,487

79,609,463

9,052,145

180,978,879
72,321,298

Cost of sales and operations, total

1,836,282

1,140,445

244,107

451,730

88,061

118,986,301

42,382,815

4,282,187

Inventory, beginning of year

85,203

37,551

15,723

31,929

**

4,658,160

2,746,321

837,460

1,074,379

Cost of labor

227,273

106,000

56,270

65,003

**

22,612,375

6,412,756

681,645

15,517,974

Purchases

445,593

184,119

69,477

191,996

* 61,062

34,430,833

13,006,338

1,061,763

20,362,733

Materials and supplies

115,282

27,785

37,101

50,396

* 8,314

41,757,945

13,582,004

1,135,403

27,040,538

1,068,213

801,708

85,633

180,872

* 17,206

20,669,282

9,760,139

1,419,455

9,489,689

105,280

16,718

20,097

68,465

**

5,142,295

3,124,743

853,538

1,164,014

Advertising expenses

11,742

5,094

727

5,921

980

1,513,776

281,393

37,605

1,194,777

Car and truck expenses

241,900

168,498

4,147

69,255

45,680

20,767,575

4,483,455

385,561

15,898,559

Other costs
Inventory, end of year

Commissions

9,076

3,921

* 171

4,983

* 3,215

893,955

259,863

15,735

618,357

Contract labor

141,606

82,426

9,079

50,100

78,397

35,458,355

9,683,964

556,830

25,217,560

Depletion

401,920

377,522

* 4,240

20,158

**

71,319

* 2,604

* 1,771

66,944

Depreciation

726,217

452,559

101,096

172,562

115,339

10,749,673

2,382,456

797,014

7,570,203

Employee benefit programs

34,762

7,300

1,115

26,346

* 1,270

349,667

87,892

24,819

236,956

Insurance

123,196

52,463

12,000

58,734

18,965

5,088,884

1,170,152

175,699

3,743,033

Legal and professional services

115,616

69,436

6,702

39,478

13,542

1,507,120

407,806

90,458

1,008,856

Meals deducted

32,502

17,129

297

15,076

2,413

1,846,970

446,438

34,181

1,366,351

Mortgage interest

13,686

9,518

* 1,453

2,715

1,104

340,340

134,257

52,158

153,925

Other interest paid on business indebtedness

81,218

58,560

8,295

14,363

3,349

876,858

327,856

79,902

469,100

Office expenses

44,906

28,558

2,576

13,772

3,638

1,596,943

412,663

54,730

1,129,550

Pension and profit-sharing plans

7,176

1,178

* 412

* 5,586

0

94,494

32,936

12,559

49,000

Rent paid on machinery and equipment

35,319

17,728

7,118

10,474

9,345

2,153,838

435,418

98,416

1,620,004

Rent paid on other business property

66,877

35,253

20,333

11,291

10,984

2,556,570

514,017

76,793

1,965,760

Repairs

185,523

81,391

43,390

60,743

54,183

3,506,943

709,440

254,818

2,542,685

Supplies

127,898

31,832

35,803

60,263

22,861

17,829,448

4,311,352

301,967

13,216,129

Salaries and wages

481,059

138,937

72,113

270,010

49,859

14,774,323

3,448,178

603,153

10,722,993

Taxes paid

207,671

138,747

14,963

53,962

9,827

2,755,239

664,321

124,853

1,966,064

Travel

33,689

22,917

611

10,160

3,792

1,770,688

434,280

61,961

1,274,447

Utilities

101,267

66,005

7,998

27,264

30,443

4,192,931

892,485

105,001

3,195,445

2,242,048

1,606,551

110,468

525,030

41,638

18,808,542

5,438,068

804,284

12,566,190

37,777

23,342

0

14,435

6,204

1,127,103

263,094

19,689

844,319

943,367

690,747

-37,638

290,258

64,345

50,439,871

11,995,791

622,098

37,821,983

1,858,268

1,350,664

66,208

441,396

182,855

60,223,309

14,616,424

1,286,117

44,320,768

914,901

659,917

103,846

151,138

118,510

9,783,438

2,620,633

664,019

6,498,786

1,339,553

1,197,979

25,123

116,450

66,130

7,952,916

2,070,517

426,206

5,456,192

Other business expenses
Home office business deductions, total
Net income less deficit [1]
Net income [1]
Deficit
Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

17

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Manufacturing

Net income status, item

Total

Food
manufacturing

Textile
and textile
product mills

Apparel

Leather
and
allied
products

Wood
products

Paper
products

Printing
and related
support
activities

(16)

(17)

(18)

(19)

(20)

(21)

(22)

(23)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

380,518

65,743

9,812

35,188

4,634

27,662

* 1,029

29,220

38,850,168

6,937,762

494,293

1,141,223

200,575

3,857,749

* 365,555

1,282,033
1,257,049

38,371,223

6,833,334

494,201

1,115,894

195,842

3,814,894

* 364,449

Other business income (loss)

478,945

104,428

* 92

25,329

* 4,733

42,856

* 1,106

24,984

Business deductions, total [1]

35,222,134

6,905,192

442,038

1,092,205

191,330

3,464,383

* 400,148

1,388,295

Cost of sales and operations, total

17,675,708

3,299,297

220,619

373,190

* 136,676

2,103,186

* 315,819

314,243

Inventory, beginning of year

2,296,461

721,560

52,759

113,006

* 16,120

224,837

* 16,077

46,895

Cost of labor

1,744,673

124,699

**

** 45,288

**

262,797

* 9,773

37,430

Purchases

10,672,868

2,233,579

209,233

186,450

* 145,977

1,309,027

* 83,515

193,500

Materials and supplies

3,371,499

739,812

**

** 93,434

**

431,031

* 15,262

69,966

Other costs

2,285,362

273,002

* 15,471

57,177

* 1,538

160,384

* 214,364

38,294

Inventory, end of year

2,695,155

793,355

58,381

120,430

* 27,156

284,890

* 23,172

71,842

Advertising expenses

404,977

93,459

8,782

40,169

* 1,180

17,761

* 317

31,729

Car and truck expenses

1,144,252

195,706

* 18,979

** 29,520

**

57,439

* 13,021

94,333

Commissions

301,393

31,156

**

** 28,667

**

** 16,913

**

* 11,565

Contract labor

861,212

94,451

* 1,897

** 30,171

**

59,645

* 398

26,031

Depletion

16,263

* 3,569

**

** 3

**

0

0

0

1,822,524

296,020

12,486

64,201

* 5,351

250,288

* 18,542

102,039

Depreciation
Employee benefit programs

121,955

22,879

0

** 3,609

**

9,124

* 936

6,178

Insurance

448,188

83,543

* 4,313

7,794

* 2,198

46,803

* 4,665

13,602

Legal and professional services

306,846

76,768

2,839

12,443

* 6,006

16,039

* 1,595

12,493

Meals deducted

155,822

45,309

2,571

** 6,343

**

3,286

* 194

6,053

Mortgage interest

76,664

15,269

0

* 434

0

4,082

0

* 74

Other interest paid on business indebtedness

155,204

41,506

* 1,827

1,861

* 5,723

** 16,288

**

13,881

Office expenses

312,647

43,871

9,025

32,647

* 1,331

14,085

* 241

21,875

Pension and profit-sharing plans

22,872

2,501

**

** 173

**

1,660

* 299

* 1,060

Rent paid on machinery and equipment

199,235

63,441

* 11,105

** 12,993

**

9,921

* 180

6,524

Rent paid on other business property

1,065,461

254,800

* 14,458

** 55,318

**

31,056

* 2,859

60,869

Repairs

527,221

111,183

4,103

26,813

* 593

97,702

* 748

15,812

Supplies

1,841,537

373,843

13,255

47,514

* 4,388

90,388

* 1,255

371,185

Salaries and wages

3,385,813

805,985

* 43,456

** 172,813

**

237,487

* 16,448

92,013

622,484

142,950

15,965

21,361

* 1,114

48,515

* 1,976

21,703

Taxes paid
Travel

193,348

34,641

* 3,683

12,606

* 3,506

6,702

* 4,080

12,437

Utilities

777,979

194,464

16,946

44,157

* 4,269

48,744

* 3,064

50,724

2,642,101

572,857

28,866

79,219

3,820

267,791

* 12,834

57,036

140,430

5,723

* 4,522

** 5,704

**

* 10,157

0

44,837

Other business expenses
Home office business deductions, total
Net income less deficit [1]

3,661,101

39,343

52,255

49,018

9,245

390,980

* -34,893

-105,071

Net income [1]

6,011,933

733,318

88,209

210,473

* 16,815

480,629

* 7,133

212,413

Deficit

2,350,832

693,974

* 35,954

161,455

* 7,570

89,649

* 42,026

317,484

1,608,385

319,478

* 4,914

35,792

* 6,158

77,198

* 18,964

48,149

Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

18

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Manufacturing—continued

Net income status, item

Petroleum
and coal
products

Chemical
manufacturing

Plastic and
rubber
products

Nonmetallic
mineral
products

Primary
metal
industries

Fabricated
metal
products

Machinery

Computer and
electronic
products

(24)

(25)

(26)

(27)

(28)

(29)

(30)

(31)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns

3,420

19,451

2,484

8,798

3,293

32,878

24,211

5,992

173,711

2,488,634

489,570

1,044,025

410,546

5,509,015

2,146,751

643,331

Income from sales and operations

171,862

2,454,254

488,871

1,036,253

406,804

5,490,489

2,088,690

640,592

Other business income (loss)

* 1,849

34,381

* 699

7,772

* 3,742

18,526

58,060

* 2,739

Business deductions, total [1]

80,831

2,105,541

397,317

937,142

379,667

4,965,709

1,802,843

523,973

* 44,195

1,180,988

227,765

421,793

269,993

2,657,904

714,999

287,711

0

60,643

* 17,912

24,421

* 6,209

163,808

91,910

* 50,092
* 32,108

Business receipts, total [1]

Cost of sales and operations, total
Inventory, beginning of year
Cost of labor

* 14,089

* 87,112

* 61,047

72,350

* 54,305

384,376

81,875

Purchases

**

** 913,292

* 86,576

234,469

179,843

1,374,465

313,150

191,116

Materials and supplies

**

** 109,198

* 36,092

45,010

* 33,703

572,832

293,325

* 18,079

* 15,679

117,062

36,621

73,599

* 6,350

408,803

32,260

71,864

0

91,893

* 10,483

28,056

* 10,417

246,380

97,521

* 75,546

Advertising expenses

**

** 23,219

9,848

6,545

* 7,222

19,501

9,138

9,529

Car and truck expenses

*3

32,776

* 2,688

23,455

* 13,794

153,862

43,979

2,204

Commissions

**

** 24,923

* 1,744

* 3,001

**

** 15,640

11,678

* 26,856

Contract labor

**

** 57,400

* 8,370

73,471

* 262

121,616

51,972

* 10,454

Depletion

** 2,185

**

0

* 111

0

* 1,994

0

0

Depreciation

* 6,187

57,940

17,257

117,414

39,974

252,236

130,229

12,235
* 2,133

Other costs
Inventory, end of year

Employee benefit programs

0

6,428

* 1,443

4,617

* 385

13,215

10,976

* 1,482

27,851

5,045

19,752

* 1,506

88,625

25,741

2,733

Legal and professional services

* 992

18,305

2,563

5,238

3,746

24,912

11,723

8,231

Meals deducted

* 22

12,429

1,934

1,243

* 189

19,367

4,039

3,232

Mortgage interest

**

** 6,080

**

** 3,717

**

** 23,242

* 944

* 1,176

Insurance

Other interest paid on business indebtedness

* 663

2,771

* 1,555

3,210

* 317

20,196

7,920

* 1,906

Office expenses

* 835

21,051

2,345

9,975

* 2,326

35,825

21,998

3,361

Pension and profit-sharing plans

0

2,818

**

** 806

**

** 5,041

* 1,953

* 805

Rent paid on machinery and equipment

**

** 1,827

* 7,554

13,992

* 740

9,290

18,583

* 3,594
25,796

Rent paid on other business property

**

** 153,276

11,334

10,677

* 4,111

87,361

43,072

Repairs

* 756

16,535

3,379

29,239

* 3,792

59,721

35,992

9,231

Supplies

**

** 63,414

4,874

31,782

* 8,388

310,235

94,779

15,292
25,161

Salaries and wages

**

** 186,601

53,765

62,918

* 8,099

504,846

247,827

Taxes paid

469

25,912

6,677

15,955

4,043

101,540

30,498

7,150

Travel

* 59

15,946

4,450

8,057

* 1,569

17,571

3,807

10,448

Utilities

* 1,202

46,713

7,050

17,330

1,880

96,357

55,253

8,735

Other business expenses

18,100

118,116

15,214

51,820

7,116

316,319

223,423

45,048

Home office business deductions, total

0

5,905

**

** 1,487

0

* 9,509

* 2,321

* 951

92,880

383,135

92,319

109,691

30,879

539,836

343,910

121,880

Net income [1]

99,248

507,348

120,641

132,976

52,888

766,170

463,649

130,190

Deficit

* 6,368

124,213

* 28,322

23,285

* 22,009

226,334

119,740

8,311

35,750

89,481

96,656

29,536

16,571

153,646

91,819

28,744

Net income less deficit [1]

Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

19

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Manufacturing—continued

Net income status, item

Electrical
equipment,
appliances,
and
components

(32)

Wholesale trade (merchant wholesalers)

Transportation
equipment

Furniture
and related
products

Miscellaneous
manufacturing

Total

(33)

(34)

(35)

(36)

Nondurable
Wholesale
Durable goods,
goods,
electronic
including
including food,
markets
machinery,
fiber,
and agents and
wood, metals,
chemicals,
brokers
etc.
etc.
(37)

(38)

(39)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns

9,639

13,995

22,142

60,926

363,712

175,600

112,472

75,640

799,333

2,035,395

1,888,381

6,942,285

63,933,685

30,712,247

24,906,853

8,314,585

Income from sales and operations

789,501

2,032,820

1,880,462

6,814,962

63,550,540

30,584,980

24,692,313

8,273,247

Other business income (loss)

* 9,832

* 2,575

7,919

127,323

383,146

127,267

214,541

41,338

Business deductions, total [1]

781,469

1,827,611

1,573,193

5,963,246

57,958,608

27,856,810

23,091,595

7,010,203

Business receipts, total [1]

Cost of sales and operations, total

371,828

996,580

633,514

3,105,407

42,060,060

19,775,624

17,420,430

4,864,005

Inventory, beginning of year

* 116,600

* 28,672

110,611

434,330

3,801,900

2,622,057

1,066,590

113,252

Cost of labor

* 41,066

* 112,851

45,785

277,722

373,588

286,171

80,526

6,891

Purchases

227,665

557,347

458,710

1,774,953

36,961,691

16,535,370

16,088,620

4,337,701

Materials and supplies

* 59,018

* 64,973

128,346

661,417

2,902,933

1,223,131

1,325,166

354,635

Other costs

* 7,238

265,224

21,935

468,497

3,668,300

2,091,592

1,401,372

175,336

Inventory, end of year

79,760

* 32,487

131,874

511,513

5,648,352

2,982,697

2,541,844

123,811

Advertising expenses

10,239

5,313

17,034

93,993

444,786

243,011

122,654

79,121

Car and truck expenses

28,983

198,320

45,417

189,772

1,397,131

624,923

494,489

277,719

Commissions

* 191

* 27,431

16,722

84,907

613,984

392,576

129,143

92,265

Contract labor

* 19,216

111,011

85,697

109,149

925,052

494,349

295,520

135,183

0

0

* 8,400

0

5,059

4,549

** 510

**

Depreciation

Depletion

35,462

82,816

59,967

261,880

1,055,854

596,374

345,282

114,198

Employee benefit programs

* 10,212

* 960

* 2,944

25,917

76,583

45,719

26,059

4,805

Insurance

9,016

23,233

26,882

53,405

356,044

183,019

132,328

40,698

Legal and professional services

26,324

8,664

11,403

56,562

312,358

139,111

138,072

35,175

Meals deducted

2,061

7,229

3,553

36,768

188,736

88,343

62,035

38,357

Mortgage interest

* 4,934

* 5,302

* 7,248

4,163

51,979

27,384

22,977

* 1,617

Other interest paid on business indebtedness

1,130

11,958

8,200

14,291

161,836

77,885

66,427

17,524

Office expenses

4,828

7,637

14,813

64,579

290,027

155,143

98,281

36,603

Pension and profit-sharing plans

* 1,360

**

** 1,358

3,038

50,485

17,784

31,945

757

Rent paid on machinery and equipment

* 3,161

15,192

* 2,285

18,854

226,288

82,992

106,468

36,828

Rent paid on other business property

30,849

8,693

107,204

163,731

950,462

464,402

421,364

64,697

Repairs

3,309

33,962

28,986

45,365

403,011

177,973

203,749

21,289

Supplies

54,479

23,447

118,131

214,890

1,152,400

685,338

289,981

177,082

Salaries and wages

85,895

81,613

196,823

564,062

1,966,465

933,962

830,122

202,381

Taxes paid

13,744

13,805

37,989

111,116

458,158

256,707

176,593

24,858

Travel

4,935

5,109

8,146

35,598

433,389

212,121

131,675

89,593

Utilities

23,359

25,390

31,588

100,755

582,512

286,105

224,833

71,574

Other business expenses

35,916

129,910

90,874

567,823

3,664,824

1,830,482

1,283,882

550,460

* 43

* 2,820

9,231

37,220

131,124

60,933

37,226

32,965

16,887

207,785

315,210

1,005,813

5,981,869

2,852,902

1,821,197

1,307,770

Net income [1]

73,879

230,261

400,618

1,285,075

8,104,283

4,063,471

2,465,389

1,575,423

Deficit

56,992

22,476

85,408

279,262

2,122,414

1,210,570

644,192

267,653

20,628

22,188

55,116

457,600

1,791,867

814,957

658,596

318,314

Home office business deductions, total
Net income less deficit [1]

Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

20

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Retail trade

Net income status, item

Total

Motor
vehicle and
parts
dealers

Furniture
and home
furnishing
stores

(40)

(41)

(42)

Building
Electronic
material and
stores
garden
and household
equipment and
appliance
supplies
stores
dealers
(43)

(44)

Food and
beverage
stores

Health and
personal care
stores

Gasoline
stations

(45)

(46)

(47)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

2,687,846

134,142

29,777

13,712

44,349

103,209

180,311

7,779

222,760,103

47,395,099

4,761,091

3,539,255

9,387,773

26,905,098

8,929,836

14,789,373
14,582,259

220,111,358

46,636,373

4,726,089

3,535,197

9,356,732

26,461,721

8,730,989

Other business income (loss)

2,648,745

758,726

35,001

* 4,058

31,041

443,377

198,847

207,115

Business deductions, total [1]

205,811,847

45,420,500

4,327,270

3,133,732

8,778,433

25,662,330

8,150,000

14,521,012

Cost of sales and operations, total

134,618,737

36,236,588

2,651,656

2,046,689

6,011,032

18,203,807

4,717,874

12,060,566

Inventory, beginning of year

21,799,171

6,110,870

453,549

243,378

990,871

1,486,013

534,923

337,498

Cost of labor

2,146,225

532,790

** 296,002

**

248,824

149,093

52,426

12,326

Purchases

116,584,682

31,411,229

1,797,836

1,492,541

4,928,144

16,829,297

4,169,577

11,605,434

Materials and supplies

8,513,991

1,390,042

** 935,148

**

493,509

807,784

406,804

129,256

Other costs

8,397,468

2,734,589

79,261

* 66,021

160,593

558,639

158,128

339,754

Inventory, end of year

22,822,799

5,942,933

539,185

126,206

810,909

1,627,020

603,984

363,703

Advertising expenses

3,333,896

334,921

99,677

29,332

66,278

121,336

219,825

22,694

Car and truck expenses

5,746,169

615,585

81,152

77,192

217,078

298,867

247,535

20,192

Commissions

2,296,800

252,881

15,435

* 2,704

16,200

68,954

59,558

4,559

Contract labor

2,717,286

570,921

43,765

88,184

165,868

153,507

155,061

15,598

Depletion
Depreciation
Employee benefit programs

14,418

6,686

** 1

**

* 83

**

** 1,568

* 66

3,715,999

620,293

80,853

46,353

264,083

330,264

103,174

213,976

230,585

62,693

9,562

4,508

21,836

26,756

19,493

5,265

Insurance

1,458,924

283,790

46,053

32,669

90,417

167,297

52,440

69,229

Legal and professional services

32,914

1,190,221

152,435

23,775

57,850

41,558

88,046

59,749

Meals deducted

749,581

62,683

12,828

8,807

23,418

39,286

34,729

3,164

Mortgage interest

264,607

71,666

3,246

* 461

3,343

25,670

10,374

40,427

Other interest paid on business indebtedness

647,429

186,466

20,966

3,795

26,174

64,480

29,570

33,762

2,083,630

174,592

28,168

34,363

58,628

81,495

125,097

13,309

Pension and profit-sharing plans

95,904

18,288

* 4,783

* 568

4,992

9,955

4,369

4,828

Rent paid on machinery and equipment

703,674

69,842

7,492

* 76,869

42,403

90,176

35,659

21,790

Rent paid on other business property

5,779,508

693,100

219,654

97,944

215,829

737,551

302,002

160,167

Repairs

1,706,859

330,167

47,898

45,753

83,897

243,805

53,832

132,172

Supplies

5,601,220

509,401

124,289

21,143

212,105

449,173

253,808

47,555

Salaries and wages

9,071,316

1,529,821

208,193

182,154

528,368

2,047,526

528,933

692,652

Taxes paid

2,960,323

396,652

97,996

41,171

141,410

525,455

120,729

214,302

Travel

1,160,360

84,653

18,881

30,717

31,152

41,066

74,231

5,248

Utilities

3,849,411

385,482

99,801

42,095

118,906

530,086

150,759

158,307

Other business expenses

15,058,484

1,742,028

359,801

162,202

390,527

1,303,607

716,002

547,907

756,506

28,868

21,347

* 210

* 2,848

14,100

73,693

* 364

17,086,862

1,993,388

433,707

405,523

609,340

1,248,537

786,331

267,423

Net income [1]

28,309,734

3,199,889

571,311

459,997

910,276

1,864,213

1,385,177

389,222

Deficit

11,222,872

1,206,501

137,604

54,473

300,937

615,676

598,845

121,799

7,476,928

1,600,083

157,654

86,731

205,683

346,423

393,849

111,788

Office expenses

Home office business deductions, total
Net income less deficit [1]

Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

21

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Retail trade—continued

Net income status, item

Clothing and
accessories
stores

Sporting goods,
hobby, book,
and music
stores

General
merchandise
stores

Miscellaneous
store
retailers

Electronic
shopping
and mail-order
houses

Nonstore
retailers

(48)

(49)

(50)

(51)

(52)

(53)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

189,049

121,490

34,592

638,299

333,119

858,021

13,884,341

9,996,686

4,472,118

36,790,024

17,667,656

24,241,752
23,969,521

13,815,167

9,939,058

4,447,468

36,316,277

17,594,505

Other business income (loss)

69,174

57,628

24,649

473,746

73,151

272,231

Business deductions, total [1]

12,753,363

9,298,731

4,189,221

32,711,218

16,535,019

20,331,017

Cost of sales and operations, total

7,097,265

5,957,345

2,983,327

18,464,490

9,058,322

9,129,775

Inventory, beginning of year

1,762,294

1,721,915

269,857

4,722,051

1,120,216

2,045,735

Cost of labor

140,337

109,950

* 62,919

380,346

60,719

100,493

Purchases

5,903,291

5,219,786

2,861,206

15,363,996

7,613,360

7,388,983

Materials and supplies

885,410

563,123

38,244

1,489,693

530,024

844,952

Other costs

289,799

270,853

123,653

1,715,821

902,509

997,846

1,883,865

1,928,281

372,553

5,207,418

1,168,506

2,248,235

Advertising expenses

320,053

186,508

40,450

544,568

741,639

606,615

Car and truck expenses

272,770

182,608

45,554

1,381,418

445,836

1,860,383

Commissions

105,450

79,382

34,590

409,053

818,404

429,630

Contract labor

244,559

52,265

90,861

422,454

276,384

437,858

Inventory, end of year

* 44

**

** 5,518

** 335

**

* 118

Depreciation

Depletion

130,694

259,840

84,420

700,156

154,497

727,395

Employee benefit programs

12,119

7,932

* 3,844

43,080

4,887

8,611

Insurance

71,120

75,359

24,348

302,545

42,542

201,113

Legal and professional services

119,759

61,850

12,920

252,328

115,761

171,276

Meals deducted

43,310

25,264

6,843

164,221

51,586

273,441

Mortgage interest

4,003

3,444

14,554

47,525

1,597

38,296

Other interest paid on business indebtedness

42,270

48,140

13,483

92,218

24,216

61,891

Office expenses

359,819

266,765

158,500

17,653

421,883

343,356

Pension and profit-sharing plans

2,930

582

0

23,398

* 948

20,265

Rent paid on machinery and equipment

70,491

19,385

31,189

164,467

29,115

44,796

Rent paid on other business property

830,552

318,491

123,801

1,486,055

243,327

351,034

Repairs

105,097

58,591

40,298

298,694

49,335

217,322

Supplies

525,108

211,628

30,331

1,092,848

903,211

1,220,620

Salaries and wages

542,182

447,613

130,800

1,538,231

159,442

535,401

Taxes paid

215,990

174,764

50,951

561,531

148,768

270,604
357,628

Travel

108,619

36,480

15,036

273,979

82,671

Utilities

283,830

179,317

55,945

840,695

265,999

738,190

1,279,481

712,150

324,295

3,030,003

2,452,077

2,038,404

Other business expenses
Home office business deductions, total
Net income less deficit [1]
Net income [1]
Deficit
Qualified business deduction

58,900

38,189

11,313

155,294

120,846

230,533

1,136,208

699,049

283,021

4,091,350

1,204,008

3,928,977

2,109,562

1,294,805

352,844

6,551,339

2,451,017

6,770,083

973,355

595,755

69,823

2,459,988

1,247,009

2,841,106

468,160

248,721

81,535

1,439,360

517,945

1,818,995

Footnotes at end of table.

Statistics of Income Bulletin

22

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Transportation and warehousing

Net income status, item

Total

Air and
rail
transportation

Water
transportation

Truck
transportation

(54)

(55)

(56)

(57)

Taxi, limousine
Other transit
service, and
and ground
ridesharing
transportation
service

(58)

(59)

Pipeline
transportation

Scenic
and
sightseeing
transportation

(60)

(61)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

3,671,901

20,870

5,584

813,975

1,121,324

131,754

* 1,281

12,237

176,241,606

2,296,722

1,391,180

112,047,563

28,793,892

5,237,772

* 126,893

725,698
717,101

174,314,107

2,180,762

1,348,015

111,227,810

28,259,130

5,179,638

* 126,893

Other business income (loss)

1,927,500

115,960

43,165

819,754

534,762

58,135

0

8,597

Business deductions, total [1]

151,469,383

2,649,685

1,462,617

96,141,028

24,510,621

4,467,617

* 96,815

896,307

15,802,686

560,094

724,225

9,850,188

382,383

290,202

* 31,249

154,140

339,304

20,057

* 9,416

94,686

* 14,279

* 54,036

0

**

2,822,724

37,488

* 188,891

1,769,110

117,642

* 46,562

0

* 16,164
* 75,442

Cost of sales and operations, total
Inventory, beginning of year
Cost of labor
Purchases

4,376,045

139,147

* 3,694

3,019,721

74,083

** 47,286

**

Materials and supplies

1,062,919

70,333

17,026

525,147

118,908

** 18,630

**

27,312

Other costs

7,565,236

321,161

518,775

4,546,188

89,697

** 194,639

**

35,876

363,542

28,092

* 13,576

104,664

* 32,227

* 39,701

0

**

Advertising expenses

Inventory, end of year

454,976

13,331

1,262

153,510

86,668

** 50,008

**

1,922

Car and truck expenses

41,225,909

85,451

18,412

23,026,139

9,155,266

** 1,060,740

**

16,194

Commissions

3,933,160

99,081

2,166

1,604,584

1,907,585

** 103,403

**

3,168

Contract labor

14,421,877

130,896

7,458

12,360,366

185,895

** 448,752

**

6,429

Depletion
Depreciation
Employee benefit programs
Insurance
Legal and professional services
Meals deducted

29,943

* 71

0

12,050

* 6,980

* 8,967

0

**

11,477,985

685,414

261,077

8,063,579

800,468

** 363,154

**

289,259

186,260

7,211

36,612

103,269

* 9,741

** 9,317

**

* 446

6,147,559

49,422

13,691

4,610,098

607,399

** 248,597

**

29,525

825,367

30,841

12,690

462,470

158,489

31,919

* 325

5,455

3,729,517

19,000

2,279

2,980,307

411,572

64,167

* 1,941

3,593

Mortgage interest

256,439

9,410

6,521

144,599

45,430

** 21,006

**

9,370

Other interest paid on business indebtedness

704,442

34,488

27,061

502,270

29,541

** 19,655

**

30,718

Office expenses

873,981

13,836

4,278

480,678

132,692

36,806

* 1,032

7,948

Pension and profit-sharing plans

19,421

1,200

* 170

9,444

* 4,963

** 256

**

0

Rent paid on machinery and equipment

4,045,266

12,496

1,789

2,608,138

931,342

** 132,643

**

* 19,389

Rent paid on other business property

1,688,163

48,126

13,631

929,398

304,966

** 60,888

**

44,184

Repairs

9,518,333

136,913

40,040

7,824,691

714,954

214,105

* 3,333

33,449

Supplies

3,106,029

37,746

7,656

1,630,237

639,611

120,518

* 1,921

81,311

Salaries and wages

5,011,198

129,197

129,059

3,296,771

104,337

** 387,647

**

37,782

Taxes paid

1,822,095

33,580

17,760

1,265,460

210,263

83,157

* 1,201

10,409
10,453

Travel

1,929,008

37,595

8,839

1,407,254

185,324

** 87,185

**

Utilities

3,075,484

33,523

6,770

1,318,994

784,412

** 89,102

**

8,710

Other business expenses

20,855,342

437,660

117,576

11,308,795

6,662,645

579,070

* 7,383

92,400

Home office business deductions, total

328,945

3,102

* 1,595

187,738

47,695

4,785

0

**

24,873,893

-337,218

-68,859

15,928,957

4,313,164

771,157

* 30,078

-165,712

Net income [1]

35,139,365

411,802

171,176

19,037,741

7,062,741

1,273,723

* 31,600

60,760

Deficit

10,265,472

749,021

240,036

3,108,783

2,749,578

502,567

* 1,522

226,472

5,018,305

655,879

56,367

2,397,113

706,867

173,334

* 6,247

86,477

Net income less deficit [1]

Qualified business deduction
Footnotes at end of table.

Statistics of Income Bulletin

23

Summer 2024

Sole Proprietorship Returns, Tax Year 2021
Table 2. Nonfarm Sole Proprietorships: Income Statements, by Industrial Sectors, Tax Year 2021—Continued
[All figures are estimates based on samples—money amounts are in thousands of dollars]

Transportation and warehousing—continued

Net income status, item

Support
activities for
transportation
(including
motor vehicle
towing)
(62)

Information

Couriers
and
messengers

Warehousing
and
storage
facilities

(63)

(64)

Total

Publishing
industries
(except
internet)

Motion
picture and
sound
recording

Broadcasting
(except internet)
and telecommunications
and internet
service providers

Data processing,
internet
publishing
and
broadcasting,
and web search
portals

(65)

(66)

(67)

(68)

(69)

BUSINESSES WITH AND WITHOUT NET INCOME
Number of returns
Business receipts, total [1]
Income from sales and operations

88,721

1,458,044

18,110

481,912

39,430

213,463

62,536

[Text truncated at 120,000 characters. The full text is on the page linked above.]

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/agency%3Airs%3Af1f80aa682e02527. Public record. Not legal advice.