Deductions & credits
Is $900 the cost basis of the five items or the one item reported for sale with a gain? That may be the point of confusion.
In this example, there are five items, the 1099-K totals $1,000 and there is $150 gain on item 2. The cost basis of that item is $350.
Selling Cost
Price Basis
1 $300 $350 Capital loss on personal item = $0 loss
2 $500 $350 Capital gain on personal item = $150 gain
3 $100 $100 No capital gain or loss
4 $50 $50 No capital gain or loss
5 $50 $50 No capital gain or loss
$1,000 $900
Box 1a Gross amount of payment card is $1,000.
At the screen Personal Item Sales, enter $500 for I sold some items at a loss or had no gain.
At the screen Now, enter one sale, enter $500 for Proceeds and $350 for Total amount paid. These are the numbers for the one item sold at a gain, item 2.
