Thank you so much, literally can't sleep over this. Basically your saying I won't be taxed if buyer pays for ship label directly through Mercari since money never touches my hand or bank, and even if Mercari reports those shipping charges within the total sales amount to IRS it's not profit, so 'income' does not mean 'profit,' but instead gross sales before costs are taken out. Therefore, I'm not required to report this profit, which justifies deducing as expenses through C.O.G.S deduction.
So in a sense, even though the IRS sees a total sale amount at the end of the day I'm the one who determines my deductions anyway. So it's just a matter of simply deducting all those shipping costs through the C.O.G.S deduction, so the image you sent is literally part of the C.O.G.S sold functionality in Turbotax, is that right? Meaning that's how I deduct those shipping expenses? Sorry (this will be my first year using Turbo tax self employed), so I haven't seen that screen at all yet. When I saw the title 'Less common income' I thought this meant I'm reporting more profit, which is the opposite to what I'm trying to do. Then I thought, 'jeeze,' am I assuming income means profit, instead of meaning: total gross sales before costs are taken out, therefore why I'm getting confused? Do I have any part of that wrong? Thanks again, much appreciated!
