eBay sales

[lil4o8kid]

Thank you very much! You saved me a lot of time researching this! 

[lil4o8kid]

I contacted Turbo Tax and they said if we are reporting it as a Hobby, you can't have any deductions IE Shipping cost, COGS, taxes collected by eBay. That's insanely absurd. Is this true? So if my 1099-k says $30,000, they said you have extra income of $30,000..

[DoninGA]

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@lil4o8kid wrote:

I contacted Turbo Tax and they said if we are reporting it as a Hobby, you can't have any deductions IE Shipping cost, COGS, taxes collected by eBay. That's insanely absurd. Is this true? So if my 1099-k says $30,000, they said you have extra income of $30,000..

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Then do not report the income as a hobby.  Report the income and expenses as a business on Schedule C.

Upgrade your online account to Self-Employed.