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Where do I enter the Deductions for E-Bay shipping and fees ?

My wife and I both sell merchandise on E-Bay. This year we both got Form 1099-K statements from PayPal because of the amount of gross sales we had (while the federal limit for these sales is $20,000, the Massachusetts limited is significantly less, like $600). I understand that it does not matter, if it is over $400 I have to report the income, but since the 1099-K is "gross sales", where do I subtract shipping and E-Bay fees ? The section on TurboTax for Business Deductions does not seem to have a section for those deductions, and there is no section for Miscellaneous. Which category should I use ?

 

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3 Replies
DavidD66
Expert Alumni

Where do I enter the Deductions for E-Bay shipping and fees ?

To enter your shipping fees, E-Bay fees, supplies, etc. in TurboTax Online, while logged in and in your return:

  • Click on  "Income & Expenses" 
  • Next to "Self-employment income and expenses, click on Review
  • Scroll down to "Expenses", and click on "Add expenses for this work"
  • Select the category you want to add your expenses to.  
  • Mark the button next to "Other miscellaneous expenes" 
  • Scroll down and click on "Continue"
  • Enter a Description and an amount, then click "Add another row" to add more kinds of expenses.

You could also input under Office Expenses.

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Where do I enter the Deductions for E-Bay shipping and fees ?

I am using the Windows version, not Online. Sorry I did make that clear.

JotikaT2
Employee Tax Expert

Where do I enter the Deductions for E-Bay shipping and fees ?

You can enter this into your desktop version by logging back into your TurboTax return.

  1. Select the Business tab
  2. Select Business Income and Expenses 
  3. Select  I'll choose what I work on
  4. Select Update to the right of  Business Income and Expenses
  5. Select Edit to the right of your business
  6. Select Edit to the right of Other Common Business Expenses and enter your expenses here.

Expense input

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