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New Member
posted Apr 15, 2025 1:38:28 PM

I received a 1099K for items that I inherited and sold at a loss

How do I report the loss?

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1 Replies
Expert Alumni
Apr 15, 2025 1:45:15 PM

Losses on personal items are not deductible.   Each gain or loss from a personal item sale needs to be reported separately. If you had a loss on the sale of any personal item, it can't cancel out any gain on the sale of another personal item.

 

Example: Tyrone bought a couch for $400 and sold it two years later for $200. Since he sold it for less than his original purchase price, the loss can't offset other income, and the sale would be reported as $0 on his tax return. However, when Tyrone bought a table for $200 and sold it for $300 two years later, he had to report the $100 gain as taxable income.

 

How do I enter a 1099-K for personal item sales?