I followed the directions below for the federal, which a TurboTax Experpert provided.
To do this in TurboTax, follow these steps in TurboTax Deluxe or higher:
- From the left menu, go to Federal and select the first tab, Wages & Income.
- Add more income by scrolling down to the last option, Less Common Income, and Show more.
- Scroll down to the last option, Miscellaneous Income, 1099-A, 1099-C and Start.
- Choose the last option, Other reportable income and Start and Yes.
- Enter the applicable description and amount and Continue.
- First, enter Form 1099-K as received. It is essential that the full amount be entered.
- For a description, include Form 1099-K and Personal Property Sales
- Enter both Forms 1099-K as received, identified from their sources, eBay and PayPal
- Next, enter an adjustment
- To reflect the duplicated income, List something like Form 1099-K PayPal already reported via Form 1099-K eBay.
- To reflect the cost of the goods sold as an offsetting, negative amount up to the amount of the income:
- For the cost description, include Form 1099-K and Cost of Personal Property
- The amount entered would be -10 if the sale was 10 even though the goods cost $100 initially.
I am just curious how the amount from the 1099-k gets reported on the State return since it didn't transfer from the federal "other reportable income" section. I didn't make a profit from the sales on eBay. Does it still count towards my income? Any help would be greatly appreciated. Thanks!
@PatriciaV
@Cynthiad66
