I play in Magic the Gathering tournaments, which cost money to enter. The prizes for these events are trading cards, never money. Whenever I win some cards, I sell them online. I haven't sold enough to get a 1099-K form, so I believe I need to enter it manually.
I don't intend to (and I don't) make a profit from doing this; I merely do so to lower the cost of playing. That, and other tips I have found in Turbotax's "Hobby Losses" help section tell me that this should be classified as hobby income.
After doing some calculations, I found the amount I spend entering tournaments and shipping sold cards, and the amount I make selling the cards I get from them. I confirmed I make a loss doing this (as I expected).
When I try to enter those two numbers in Miscellaneous Income > Hobby income and expenses > Income not on 1099-K and Expenses, I get a warning that says "Expenses cannot be greater than income".
At face value, this seems plainly incorrect. Of course hobby expenses can be greater than hobby income! What am I supposed to do in that situation?
Does the "Total hobby income not on 1099-K" box actually meant to hold receipts minus costs, which in my case would result in 0? If so, then why is there a separate box for expenses?
Or, do each of these boxes mean something else that I'm not considering?
