I am trying to enter the inventory and don't see an option for 2021? also should I put how many items I had made or the total value in the inventory section?

[kegei]

For clothing direct sales, I want to enter my inventory

[ZoltanB45]

Being that you are using Turbo Tax Self employed, you either have  a single member LLC or sole proprietor. There is no balance sheet on the tax return, so you would not necessarily need to enter inventory. However you do need the inputs to record the cost of goods sold.  In the self employment section, after you have entered income, it gives you an opportunity to enter expenses. Scroll down to "less common expenses." You will see inventory there.

If you had no revenue, the purchases you made would not be expensed. You will have to wait until you have revenue. When you do have sales you would record it by entering the beginning inventory, the amount you spent on inventory during the year and the ending inventory.

[kegei]

But where do I put the cost of goods purchased? Like from me purchasing from the wholesalers who I had develop the designs into clothing

[ZoltanB45]

After you enter the beginning and ending inventory, there is a page for the cost of purchases made during the year.

[kegei]

Yea but it only says year 2019 and 2020, it doesn't say year 2021. And the beginning end ending inventory is items right? like pieces? not total value?

[JamesG1]

You enter the value of the inventory and purchases to compute cost of sales.  TurboTax online Self-employed has a known issue.  The headings have not been updated but entries flow correctly to the 2021 Federal tax return.

If you enter your 1099-K from eBay under Inventory, cost of sales is computed as follows: 

• Beginning inventory  +
• Purchases -
• Ending inventory =
• Cost of sales

 At the screen Let's get the value of your inventory enter $0 at the beginning of 2021 and $0 at the end of 2021.

So at the screen Let's get the cost of your goods, the $1,000 would be entered as a cost of purchases.

This would leave cost of sales as $1,000.

If you had an inventory left at the end of 2021, then report that value for the inventory at the end of 2021 and cost of sales would go down by the same amount.