Both. If a partnership ends because a partner or partners leave and theresone remaining person owning the entity then the partnership files a 1065 forthe period of time that there were multiple people involved and then aSchedule C for the remaining period when only one owner was left.These business tax returns will each be for part of the year. This isdesignated with dates at the top of the 1065 and the Schedule C will be markedas a u201cfirst time filingu201d for this business.