If the full amount of income reported on IRS form 1099-K is identified as "in error or for personal items sold at a loss", then you have satisfied the IRS as to the status of the income.
IRS Publication Your Federal Income Tax, page 2, states:
Changes to reporting amounts from Form 1099-K
Beginning in 2024, if you received a Form(s) 1099-K that shows payments that were included in error or for personal items sold at a loss, you will now enter these amounts in the entry space at the top of Schedule 1 (Form 1040).
Maintain a record in your tax information of how you made this determination should a tax authority have a question at a later time.
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