it going to be a mess for many taxpayers. some 1099K's will include cash transfer that is just money going in and out of the account. for other taxpayers, they really don't have a business but are merely selling used items like clothes etc which will be sold at a loss. the loss isn't deductible and since it really isn't a business reporting on schedule C seems inappropriate. at the present about the only way to report this and hopefully avoiding getting one of those letters from the IRS is to report on schedule 1 line 8z. but as of now with no IRS guidance, even that may create an issue.
