Independent notaries rely on a few key financial reports to prepare an accurate Schedule C and calculate self-employment tax. While bookkeeping systems offer many options, only four reports are truly essential for tax time.
Profit & Loss (Income Statement)
The Profit & Loss report is the backbone of your tax return. It summarizes your total business income, deductible expenses, and net profit for the year. That net profit flows directly into Schedule C and determines both your income tax and self-employment tax.
A complete P&L includes:
- Total income actually received
- All business expenses
- Final net profit for the year
This is your primary tax document.
Expense Report
The Expense Report provides the detailed list behind your deductions. While the P&L shows totals, the itemized breakdown makes it straightforward to categorize deductions properly on Schedule C and provides the documentation you’d rely on if the IRS ever asks for proof.
Typical notary expenses include:
- Printing and office supplies
- Travel-related costs
- Notary stamps, journals, and bond
- Phone and internet
- Software, training, and certification fees
Mileage Report
Mileage is often one of the largest deductions for mobile notaries. The Mileage Report gives your complete log of business miles—necessary whether you use the IRS standard mileage rate or actual vehicle expenses.
A proper mileage report shows:
- Total business miles
- Dates and purpose of each trip
- Detailed logs if your app supports them
This report protects your deduction and keeps you audit-ready.
1099 / Payments Received Report
Even though you don’t submit 1099 forms with your tax return, you must reconcile all 1099-NEC forms issued to you. The IRS matches these to your return, so your reported income must meet or exceed what companies reported paying you.
The 1099 report helps you:
- Confirm every 1099 you received is accounted for
- Identify companies that paid you $600+ but didn’t send a 1099
- Ensure your P&L income aligns with IRS-reported income
This step prevents mismatches that can trigger IRS notices.
The Bottom Line
To file taxes accurately as an independent notary, you need these four reports:
- Profit & Loss Report
- Expense Report
- Mileage Report
- 1099 / Payments Received Report
With these items gathered, you can confidently complete your Schedule C, claim all eligible deductions, and ensure your reported income aligns with IRS records.