What is the difference between Schedule C and a profit and loss sheet?

Schedule C is a tax form used by sole proprietors in the United States to report income or loss from a business, detailing income, expenses, and net profit or loss for tax purposes. A profit and loss sheet, on the other hand, is a financial statement that summarizes the revenues, costs, and expenses incurred during a specific period, providing an overview of a company's financial performance. While Schedule C is specifically for tax reporting, a profit and loss sheet can be used for internal analysis and decision-making in any business entity.