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@teresamorgan0301969 wrote:

Hello, @Opus 17 @DawnC @LenaH 

I did not get a 1099 or a 1099K (i was under the $20,000/1000 items triggers but, was not sure how the different shipping methods (buyer paid, seller paid), eBay fees, and Paypal fees factor in all of my eBay sales were processed via PayPal, so I can see the amounts there.
Thank you,
Teresa M.

If you are operating a business, you are expected to keep accurate records of your income and expenses, and report and pay taxes, even if you don't get tax paperwork from your clients or payers.  In the case of something like eBay sales, you would report your gross sales amount as gross income, and the various expenses (listing fees, transaction fees, shipping) as business expenses.

 

If you are only selling used items for less than you paid for them, you may or may not be operating a business, as defined by the IRS.  If you don't report it as a business, you should still keep accurate records for at least 3 years in case of audit.