Self employed

First you need to figure out if this s a business for you, or a hobby. Click here to see IRS guidance on whether this is a business or a hobby. 

If your eBay sales are a hobby, you can't deduct the business expenses you listed. Only the cost of the items you sell is deductible in that case. That means you can't deduct eBay fees, postage or sales tax. 

Follow these steps to enter your hobby income in TurboTax.

1. Sign in to TurboTax and open your return
2. Select Search and enter 1099-k
3. Select Jump to 1099-k
4. Select Yes on the Did you get a 1099-K? screen
5. Select Hobby income and Continue
6. On the next screen, enter the details from your 1099-K regarding who paid you, their federal ID number, and the amount in Boxes 1 and 4. If your form has information in boxes 6-8, select the box and enter those details, and Continue
7. If you have a 1099-K from another hobby, select Add another 1099-K, otherwise, select Done
8. Scroll down the Wages and Income page and select Less Common Income
9. Select Start next to Miscellaneous Income, 1099-A, 1099-C
10. Scroll down to Other reportable income and select Start 
11. Choose Yes on the Any Other Taxable Income? screen
12. In the description field, enter Form 1099-K Costs of Goods Sold
13. In the Amount field, enter your Costs of Goods Sold as a negative number, select Continue and then Done

If your eBay activity is a business, you file it in the self-employment income section and you can deduct expenses like sales tax, eBay fees, postage, etc. 

To enter your expenses:
 

1. Sign in to TurboTax and open your return
2. Search for Self-employment income and expenses, click Add/ Edit to the right. 
3. This will take you to the Did you have any self-employment income or expenses? screen. 
4. Answer Yes and continue through the interview to enter your expenses. 
5. If you land on the Your 2022 self-employed work summary screen instead, select Edit next to your self-employment entry. 
6. Answer the  questions until you come to the Here's your (name) info page.
7. In the Expenses section, select Start beside each category to enter your expenses.
8. If you have expenses that don't fit in the other categories, elect Other miscellaneous expenses.
9. You can then give a name and amount to each miscellaneous expense that you have.