Ebay 1099-K - Personal items in TurboTax Home and Business 2022 Desktop at a loss

[BHHOWARD]

I saw another post similar to this, but the steps were incorrect.

I received a 1099-K from eBay from selling some misc. personal items.  The total was under $2,000.

I entered the 1099-K info as follows:

Selected:  Personal item sales

entered info from 1099-K

Selected:  All items were sold as a loss or had no gain

Smart Check found an error:

Form 1099-K Wks (eBay Commerce Inc.): Link to Sch D worksheet links to the same copy of this worksheet as another copy of Form 1099-K. Select a unique copy of the worksheet for each Form 1099-K.

Clicked on Forms button and the top and saw "Form 1099-K Wks (eBay Commerce Inc.)".  When I opened it, Schedule D had a yellow highlighted entry of "Untitled”.

Double-clicked on “Untitled” and it opened a dialog box with two option buttons:

1. Select and existing Form 1099-B Worksheet
2. Enter Name of Broker

Option 1 had a single entry in the list:  "Form 1099-B Wks (Untitled)". Under the list, there was text of “1 Copy used”.

I opened the "Form 1099-B Wks (Untitled)".  All of the entries were blank except for Name(s) Shown on Return and Social Security No.

I saw a suggestion that after entering the 1099-K, to goto "Investment Income" then "Stocks, Mutual Funds, Bonds, Other".  There were no entries in there.

Any help would be appreciated.

thanks

[DMarkM1 · Accepted solution]

I suggest you delete the 1099K form(s) you have entered to this point.  Generally for tax reporting you just need to report the income shown on the 1099K without necessarily entering the form itself.  

Go the "Investment" section and select "Stocks, mutual funds, bonds,..." topic.  Indicate you did not get a 1099B.  Enter as one sale at a time. 

From here it depends on what the sales transactions are.  Separate the transactions logically and identify them as 1099K reported.  

For example, if there are specific items sold on specific dates you could enter each separately.  For example, sold a couch on 5/5/2022 and sold a TV on 6/6/2022.  Enter the information for each of these transactions.  In the description you should identify each as Ebay 1099K.  For example, EBay 1099K (couch) and Ebay 1099K (TV).  For each item in the follow question if there was a loss on the personal item sale, select that option so that the loss is properly disallowed.

If however, you had a yard/garage sale on a specific date and sold several items you could enter as one transaction, assuming all more than one year old or all less than one year old.  Ebay 1099K (yard sale).   Enter the total proceeds and the total original costs of the items sold on that date.  The acquisition date is various.  Again if the result is a loss select "Personal Loss" in the follow on question to disallow. 

 NOTE:  If on the yard sale date you sold some items that were less than a year old and some that were more than a year old, you would need two different transactions one for short-term items and one for long-term items. 

This method doesn't require an attempt to match separately entered 1099Ks since you are not actually entering the 1099K forms.  

[BHHOWARD]

thank you for your help