Ebay Sales

[badgerwest]

I had 146 different Transaction Sales on Ebay in 2024.
The Value shown on my 1099-K is much higher than my small profit after subtracting the Basis of each item and shipping Cost . 
I see where I am asked to enter the 1099-K but this Value needs major adjustment.
How do I enter this on Turbo Tax Premier? 

Please Help Me. 
Thank You. 

[JamesG1]

The posting of IRS form 1099-K for personal item sales is a two-step process.  

• First, you post the IRS form 1099-K amount of box 1a.  
• Second, you post the IRS form 1099-B Proceeds  From Broker and Barter Exchange Transactions to report the sales proceeds and the cost of sales.

In TurboTax Online, follow these steps:

• Down the left side of the screen, click Federal.
• Down the left side of the screen, click Wages & Income.
• Click on the down arrow to the right of Other Common Income.
• Click to the right of Form 1099-K.
• At the screen Did you get a 1099-K?, select Yes.
• At the screen How would you like to upload your 1099-K? click Type it in myself. 
• At the screen Which type of income is your 1099-K for, select the button for Personal item sales.  Click Continue.
• At the screen Let's get the info from your 1099-K, enter the information. 
• Click Continue.
• At the screen Personal Item Sales, you may enter a value under I sold some items at a loss or had no gain.
• At Your 1099-K Summary select Done.
• At the screen Your 1099-K summary, notice that the income relates to ‘Personal Items’.  Click Done.
• At the screen Your income and expenses, scroll down to Investments and Savings (1099-B, 1099-K….).  Click to the right.
• At this screen, you will be asked to Review the Personal item sales (1099-K).  Click Review.
• At the screen Now, enter one sale…., answer questions about the personal item sale.  
• Sales Proceeds will be the amount of box 1a of the IRS form 1099-K less the amount of I sold some items at a loss or had no gain.
• Click Continue.
• At the screen, Let us know if any of these situations apply to this sale, sales expenses may be recorded.

The entry will be reported:

• on Schedule D of the Federal 1040 tax return, and 
• on line 7 of the Federal 1040 tax return.

Capital loss for a personal item sale reports $0 capital gain on line 7 of the Federal 1040 tax return.

For that many items, you may choose to group your sales.  If you were to group your personal sales, there would be as many as four categories:

• Personal item for loss reports $0 gain/loss,
• Personal item gain long-term basis,
• Personal item gain short-term basis, and
• Personal item, no gain or loss.