- The income should be reported on Schedule C, which will allow you to offset the income with the expenses.
Since these sources of income and expenses are basically related to each other, they can all be reported on one Schedule C, instead of reported separately.
But, when you enter the details into TurboTax, list any government form amounts in the same way you received them.
- In other words, enter Form 1099-K from E-Bay by itself. On the next line, enter the Rakuten Form you received, etc.
- For the expenses, add up everything for each category that you have for the whole year that you paid across all the different types of income and enter.
- Yes, it will require an upgrade in the program, but TurboTax will let you know as you are entering your details. Simply start in the income section under self-employment.
- Click here for more specifics on entering your details: Where do I enter my Schedule C?
- Any difference between your records and the forms you've received must be explained or you would have to pay tax on the amounts as reported on the forms less provable expenses. Keep in mind, government forms such as Form 1099-K or Form 1099-MISC have already been submitted to the IRS at the same time they were sent to you.
- Yes, you should only be taxed on the net amount, the income earned less the expenses paid out.
- Yes, you will be able to e-file. Your situation does not require filing by mail.
‎January 24, 2021
4:11 PM
