Ebay sales started last year, the revenue $2000, the cost $3000, Can I report this loss? no business registered,no any forms received.

[ochang07]

I’m a college student, I’ve some ebay sales last year, the revenue around $2000, the cost and expenses around $3000, Can I report this loss?  I didn’t register a business,neither received any forms.

[KathrynG3]

It depends. If you were selling personal goods, then the cost can be included only up to the amount of the sale. 

If you were in the business to make a profit, even though there was a loss, report this income as business income & expenses. It is not necessary to register a business to report it on your personal return. TurboTax will use Schedule C to report this business activity.

To do this in TurboTax, follow these steps:

• From inside TurboTax, enter schedule c in the search box.
• Select the Jump to link in the search results.

For more information, see: How do I enter a 1099-K in TurboTax Online?

[ochang07]

Thank you for such a quick and kind answer! I really appreciate it!

If you are able to answer, there're more questions I was hoping to ask about:

1. It's not personal goods selling, kind of business sales, but I didn't received 1099-k from eBay, how to report it?

2. What kind of TurboTax product should I choose? Self-employed or Small business? 

3. My  parents has filed me as their dependent, am I still able to report this loss?

[ColeenD3]

1. It's not personal goods selling, kind of business sales, but I didn't received 1099-k from eBay, how to report it? You can report it as cash on Schedule C.

2. What kind of TurboTax product should I choose? Self-employed or Small business? You have the choice of doing it online in Self-employed or on desktop with Home and Business. It is just personal preference. With H&B, you pay up front and can see your forms at any time.

3. My  parents has filed me as their dependent, am I still able to report this loss? Yes, just make sure you indicate that you are a dependent in the Personal Info section.

We'll automatically complete Schedule C when you set up your self-employment work in TurboTax or when you enter what the IRS considers self-employment income, which is usually reported on Form 1099-NEC or 1099-MISC.

Schedule C is supported in TurboTax Self-Employed (both online and in the mobile app) and in all personal 1040 versions of the TurboTax CD/Download software.

To set up your business:

1. Open or continue your return.
2. Search for schedule c and click the Jump to link in the search results.
3. Answer Yes to Did you have any self-employment income or expenses?
   • If you've already entered self-employment work and need to enter more, select Add another line of work.
4. Follow the onscreen instructions.

[ochang07]

I tried to fill up the schedule C, the questionnaires are quite complicated, since I didn't get the forms 1099-K,if those are hobby sales, I won't be able to report my loss, could I just ignore this income and expenses? because it will be a zero income.

[ColeenD3]

You can't just omit income because it is too difficult to figure out how to include it. Enter the income as cash on Schedule C.