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Thank you.  I would appreciate a follow up on remaining questions.  I'm a little confused because other answers from Experts seemed to strongly suggest PayPal/eBay users like me should definitely report the 1099-K in Less Common Income and then look to deduct.

 

So that said, could you please clarify, and also address the following?

(1) If I were to report the 1099-K for my federal return using TurboTax Deluxe, how should I do it? 

(2) I don't live in Massachusetts.  How do I report for Illinois?

(3) What do I need to have to show proof of what I paid for the items?  Do I need to provide any of this, and how do I input them into TurboTax Deluxe?

 

Thank you!

 

Thanks!