You can either report your income from selling good on eBay as a hobby, or as a self-employed business.
Either way, you do not enter the information directly from the 1099-K into your return like you would a W-2, you simply report the income number.
If you treat the income as hobby income, you can deduct your expenses up to the amount of your income. Hobby income and expenses cannot create a loss on your tax return.
If you treat the income as a self-employed business, then you report everything on Schedule C.
Take a look at the following article to help you decide what to do in your situation: Hobby or Business
Whenever you are ready to get started entering your information, enter either 'hobby income, loss' or 'schedule c' into the search box at the top of the screen in TurboTax and then click the 'jump to' link that comes up.
"Employee Tax Expert AnnetteB6"
