Hello - So i have a hobby of buying and selling sports trading cards. The hobby is super hot right now I received a 1099-K from Paypal because i hit just over $24,000 in sales with around 250 transactions. However, by the time I paid all the eBay seller fees, paypal fees, shipping fees, and then add what I actually spent to obtain all these cards and then re-sell; I have actually lost around $1,500.00 in total. I dont know if this would be considered a small business but I was told in this case it is. Do i need to report the full $24,000 on the 1099-K as eBay Sales on a schedule C, and then put all my purchases and merchant fees as expenses? It would then show negative for Net profit in business income. Not sure the proper way for entering this.
