Form 1099-K reconciliation issue for eBay sales

[Gyaos]

I received a 1099-K for eBay sales which totaled slightly over $600, across 20 sales, 16 of which were at a net loss. I have entered details for each sale in the Wages/Income section. Now in the home stretch I'm told to "Check This Entry": "Form 1099-B Worksheet (eBay Commerce Inc.): Amount from Form 1099-K has an amount from linked Form(s) 1099-K, but the sales proceeds on this worksheet don't match the payment amount from Form 1099-K. Add sale(s) on this worksheet with sale proceeds to match the amount reported on Form 1099-K."

Embedded in this is a Form 1099-B Worksheet. Under "Form 1099-K reconciliation"; "Payments(s) amount from linked Form 1099-K", there is a number which does not appear on my 1099-K. I can't see what math would have led to this number. without understanding the number, I can't proceed. Where does this come from?

[JamesG1]

Are you able to see the number when you view the Schedule 8949 in the Federal 1040 tax return?

In the online versions, you may view or print at Tax Tools / Print Center / Print, save or preview this year's return / Include government and TurboTax worksheets after you have paid for the software.

The worksheet will generate entries that flow to the Schedule 8949 / Schedule D Capital Gains and Losses.

The total of the proceeds column must equal the total of the IRS form 1099-K or the software will give you an out of balance error message.

You may elect to delete the entries and start over.

You are able to remove the 1099-K(s) by following these steps:

• Down the left side of the screen, click on Tax Tools.
• Click on Tools.
• Click on Delete a form.
• Find the form listed and click Delete to the right.

Remove the worksheets here by clicking the delete trashcan.

@Gyaos 

[Gyaos]

Thank you for replying. I can't view those tools yet because I haven't paid for this year's software, and I haven't paid for the software because that step comes at the end and I'm still stuck on this error. 

The total of my proceeds column does equal the total of the 1099-K. What is the source of the number in the field I had mentioned? Where can I see how that is calculated? That number does not appear anywhere on my Form 1099-K. Thank you.

[Cynthiad66]

Without seeing the return, it is not possible to determine the origin of the number.  As JamesG1 stated you should view the form 8949 to see the numbers.  You can pay for your software at anytime during the process.

When you pay, you will have access to all of the forms and worksheets.

To pay for TurboTax:

1. Open or continue your return
2. Select File in the menu and then select Start next to Step 1 Review your order
3. Select View payment options
4. Select Pay now(or Pay with Federal Refund, if that option is available) to make your payment

Because paying for your TurboTax Online fees is separate from e-filing your return, you can pay at any time prior to filing your return.

You can view your entire return or just your 1040 form before you e-file:

1. Sign in to your TurboTax account
2. Open or continue your return
3. Select Tax Tools from the menu (if you don't see this, select the menu icon in the upper-left corner)
4. With the Tax Tools menu open, you can then:
   • Preview your entire return: Select Print Center and then Print, save or preview this year's return (you may be asked to register or pay first)
   • View only your 1040 form: Select Tools. Next, select View Tax Summary in the pop-up, then Preview my 1040 in the left menu

@Gyaos

[Gyaos]

Thank you. I have now paid and viewed the form.

It looks like the reason this field (which seems to draw from 1099-K Reconciliation line 3) didn't resemble any numbers I had is that Turbotax is inconsistent about rounding or not rounding transactions to the nearest dollar. The 1099-K Reconciliation wants line 1 to be the sum of lines 2 and 3, but line 1 and 3 are rounded by the software while 2 is not. I will use this output as a guide to round all of my transactions manually and hopefully this will solve things.

[Gyaos]

I've rounded off all of my data entry and I'm still stuck. My Form 8949 does not have a single total under Proceeds, because my Form 8949 is three pages long. For Page 1 I have $131; For the first Page 2 I have $424; for the 2nd Page 2 I have $56. This adds up to $611, which I assume is the number which needs to match a value on the 1099-K. The corresponding value on my 1099-K is $611.70. I have tried increasing a number in my data entry just to get my grand total on the 8949 to $612, but TurboTax doesn't count that as a match either.

These rounded-off values on the 8949 will never match the 1099-K exactly because the 1099-K has a cents value. It doesn't work to just not round, which is how I entered these originally, because TurboTax will round some numbers but not all of them. Is that the problem? Is it something else? I've transcribed all of the guidance from the relevant TurboTax screen, which tells me nothing.

The first reply in this thread mentioned deleting my 1099-K, but I don't understand how that will get me to being able to file my taxes.

[Gyaos]

The only field I can edit on the aforementioned TurboTax page is "Payment(s) amount from linked Form 1099-K", which is $234. This seems to be the total of the proceeds for the 4 auctions (out of the original 20) where I actually had a net gain. I suppose I could edit that number to fit the $611.70 grand total from Form 1099-K, but that would make the hours I've put into these worksheets (and the payment for the extra TurboTax module) worthless. And that's assuming it would even work, which seems doubtful given that it wouldn't match those worksheets.

[PatriciaV]

Have you tried editing the amount under the 1099-K topic? Since the IRS rounds everything to the nearest dollar, the amount on the 1099-K can be entered as a round number. As long as the 1099-K total matches the total of your 8949 entries, the error message should go away.