California - Reporting Ebay 1099-K

[jcqlnmartinez5]

How would I report sales from eBay listed in the 1099-K form in the California State Tax Return? It appears the information from the Federal did not transfer over. I did not make a profit. I listed it in the "Miscellaneous Income" section in the federal return. Any information provided would be greatly appreciated!

Below is the error message that I am receiving when attempting to submit the State return:

/CA-Return/CA-ReturnData/CAForm540ScheduleCA/IncomeAdjSchedule/Income/FederalAmounts/OtherIncomeAdditionalItems - Data in the return is missing or invalid. Please double check your entries.

[Cynthiad66]

Try this to adjust your income. Use Other income additions, on the California return, to enter the amount from Form 1099-K.  See Below.

In the California go to the section for California Additions to income to add the additional income directly on the state return.  

Log into your return and go to the state return to edit.  Walk through the return entries until you get to "California Adjustments".

CA Form 540 shows line 16 California adjustments – additions. Enter the amount from Schedule CA (540), Part I, line 27, column C.

Use this form Schedule CA 540, here for more information on adjustments to income.

@jcqlnmartinez5

[jcqlnmartinez5]

Thanks for the information! Would I need to report it as additional income even though I did not gain a profit? Items that were sold were sold at a loss. 

[PatriciaV]

How did you report this activity on your Federal return? You should enter the same number for Other Income on your California return. 

[jcqlnmartinez5]

I followed the directions below for the federal, which a TurboTax Experpert provided. 

To do this in TurboTax, follow these steps in TurboTax Deluxe or higher: 

1. From the left menu, go to Federal and select the first tab, Wages & Income.
2. Add more income by scrolling down to the last option, Less Common Income, and Show more.
3. Scroll down to the last option, Miscellaneous Income, 1099-A, 1099-C and Start.
4. Choose the last option, Other reportable income and Start and Yes.
5. Enter the applicable description and amount and Continue.
   • First, enter Form 1099-K as received. It is essential that the full amount be entered.
     • For a description, include Form 1099-K and Personal Property Sales
     • ​​​​​​​Enter both Forms 1099-K as received, identified from their sources, eBay and PayPal
   • Next, enter an adjustment
     • To reflect the duplicated income, List something like Form 1099-K PayPal already reported via Form 1099-K eBay.
     • To reflect the cost of the goods sold as an offsetting, negative amount up to the amount of the income:
       • For the cost description, include Form 1099-K and Cost of Personal Property 
       • The amount entered would be -10 if the sale was 10 even though the goods cost $100 initially.

I am just curious how the amount from the 1099-k  gets reported on the State return since it didn't transfer from the federal "other reportable income" section. I didn't make a profit from the sales on eBay. Does it still count towards my income? Any help would be greatly appreciated. Thanks! 

@PatriciaV 

@Cynthiad66 

[PatriciaV]

If the Other Income wasn't carried over from Federal to your State return, you will need to add the amount as an adjustment to your California income. Follow the interview under State until you see a page asking for adjustments.