See this TurboTax Help article for more information about which steps to take depending on why you receive a 1099-K and whether you are in business to make a profit, or selling personal items at a loss, etc.
Form 1099-K tracks income you made from selling goods or providing services via payment apps and online marketplaces. Examples include PayPal, Venmo, Square, Etsy, Uber, and Ebay.
You should receive a 1099-K if you made more than $5,000 on one of these platforms.
Even if you don't receive a 1099-K, or you make less than $5,000, you still need to report all taxable income to the IRS.
If you generally have a net profit from sales, or can establish that you meet IRS guidelines for operating a business, report the income and related expenses on Schedule C.
If you have occasional sales of personal items at a loss, you can choose not to report them on your return at all. If you sell the items through an online platform or other entity that issues you a Form 1099-K, keep good records in case of an audit.
If you regularly sell items as a hobby, report the Form 1099-K. You can't deduct the expenses under current law, except on some state returns, such as California, whose laws didn't change on this issue when the Federal law did.
See also this TurboTax tips article and this IRS webpage for more information.
Form 1099-B is for entering broker transactions such as stocks or bartering. See this help article for more information.
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