How to correctly enter eBay related deductions?

[Lynn G1]

Hello all.

I believe that I am almost done doing my taxes for the first time as an eBay seller. However, I am unsure about a few details.  Could one of you please try to assist me with these?  Thanks in advance.  Here goes:

1--Where is the proper place to put the Postage charged to buyers that is included in box 1a of my 1099-K? Under "Other Miscellaneous Expenses?"

2--Where is the proper place to put/deduct the fees that eBay charges on each sale? Should this go under Under  "(sales)? commissions"" or Other Miscellaneous Expenses?"

3--Where is the proper place to put the Value of items sold?  Should this be under a) supplies or b) inventory / cost of goods sold?

Thanks again all!

[JamesG1 · Accepted solution]

The charge for postage is included in the IRS form 1099-K box 1a and you are reporting self-employment income.

Postage may be charged in the self-employment activity under other miscellaneous expenses.

The charge for eBay fees is included in the IRS form 1099-K box 1a and you are reporting self-employment income.

The eBay fees may be reported under commissions.

In TurboTax Online, the value of the goods sold should be reported under Inventory/Cost of Goods Sold .  Follow these steps:

• At the screen Here's your xxx info. select  Add expenses for this work.
• In the search box in the center of the screen, enter Inventory.
• Check the box to the left of Inventory.  Click Continue.
• At the screen Here's your info for this work, click the pencil to the right of Inventory.
• At the screen Do you have inventory for your work? select Yes, I have inventory to report.  Click Continue.
• Follow the screens to report beginning inventory, ending inventory and cost of goods.