@jar3737
If you sell an item for more than you paid for it—or in the case of a gift, for more than the giver paid for it originally—you have a taxable gain.
You can report it on schedule D as a capital gain transaction, because tangible personal property is considered capital property and you get a lower capital gains tax rate (except for collectibles that you hold and sell for the purpose of increasing value, in which case they are taxed as regular income).
you can go to the section for sale of stocks, bonds, and other property and enter the item as a sale of property that has increased in value. You will need to know or at least a guess the approximate purchase date and purchase cost. It won’t link directly to the 1099K, but if the IRS sends a letter asking about the 1099K, you would tell them what you did and how you reported it.
