Sale income

[abrooks1010]

If I make a sale of $3000, and $500 is profit on an eBay sale but $300 goes to the eBay fee, is my profit still $500 or is it $200? And which would I claim as income?

[Anonymous_ · Accepted solution]

I have to assume you sold an item of some sort (e.g., from inventory). In that event:

Gross Revenue/Sales: $3,000

LESS cost of item: $2,500

EQUALS Gross Profit/Income: $500

LESS eBay fees (expense): $300

EQUALS Net Profit: $200

Refer to Schedule C (link below) if you are in business.

https://www.irs.gov/pub/irs-pdf/f1040sc.pdf