I received a 1099-K from SeatGeek. Where and how do I report the loss and income received in TT? These were not sold as a business.

[lizp1]

Hello, I received a 1099-K from SeatGeek for resale of sports tickets for 7 games. These were not sold as a business; we have season tickets and were unable to attend the games. Under 1099-Misc, other Income, I selected Personal Items Sale, filled in the information from the 1099-K. Is this the correct classification? When I went to the next section Interest and Dividends, it said I will need enter/review each personal item sold. Since each game was a separate sale, I am thinking I need to enter each sale/transaction separate. Is that correct? I listed the Amount Paid (Face value of the ticket, cost of membership (needed to purchase tickets) and seatback) Am I able to include that in the total cost I paid out? I listed the proceeds as payment I received. Would the percentage SeatGeek took be considered Sales Expense? Thank you for your help and guidance.

[DavidD66]

Yes, the amount SeatGeek kept is a sales expense and should be used to adjust (reduce) your proceeds.   You should list each sale separately.  Your cost basis for each ticket would include an allocated portion of your membership fee and the cost of the seat back.  There is a section in TurboTax for entering a Form 1099-K.  If you didn't you should start there and enter the information on your Form 1099-K.  

[lizp1]

Thank you David. I am sorry, I have one more follow up question. I entered the ticket sale information, date sold, total amount I paid. Under Proceeds, I am entering the amount I received, this does not include the % SeatGeek took, then I am entering the % they took under the Sales Expense, is that correct? 

Example: ticket sold for 100.00, my statement from SeatGeek has the net pay as $90.00 (that is what I entered under proceeds), SeatGeek %/Sales expense is $10.00 (I entered that under "I paid sales expenses that aren't included in the sales proceeds reported on the form". The 1099-K received has 2-boxes, 1a has the gross, I entered that in the section for 1099-K. Box 1b has the actual amount received (less the % taken).

[ThomasM125]

It sounds like the sales proceeds were $90 after the $10 commission was paid. If so, it is appropriate to enter the proceeds as $90.  But you shouldn't enter $10 as sales expenses that aren't included in the sales proceeds, because they are included if you entered $90 as the proceeds.