Entering sale of inherited items I sold on eBay

[Edpol]

In 2021, I sold some used electric trains that I inherited. I sold them on eBay. I didn't sell enough to get a 1099-K. I am not a business, just selling these personal items. Where in TurboTax can I record this sale other than self-employment. I also sold the house and a vehicle from the same inheritance.  Can I record the trains and truck sale where I recorded the sale of the house, which was in the Stocks, Crypto, Investmtents, Other, etc. section of TurboTax?

[JulieS · Accepted solution]

Yes, that is where you would report the sales. 

Since you inherited these items, you can use the word "Inherited" as the date acquired. That automatically make the transaction long term, even if you owned it less than one year.

Your basis is the value at the time of the original owner's death. 

[Rainman12]

If sold for than less value than at acquisition (highly likely), no need to report at all. Inherited items are valued as of date of death. Similarly applies to truck sale. House is slightly different: If a Form 1099-S was part of the sale, you have to account for proceeds. Same  premise applies: Difference between value at DOD and sale is your gain or loss. IRS Form 8949 applies in all aforementioned cases; 'Inherited' applies to when acquired.

[CA_Olson]

I inherited a few thousand books and my brother died about four years ago.  I am selling them on eBay, and I also have shipping box expenses.  How do I account for this?  

[JamesG1]

Sale of personal items may be reported on Schedule D IRS form 1040 and Schedule 8949.

Personal items sold for less than their cost basis (most likely, the fair market value of the item on the date of the owner's death) report $0 capital gain on line 7 of the Federal 1040 tax return.

Personal items sold for more than their cost basis report the gain on line 7 of the Federal 1040 tax return.  See this example.

                                              Selling                   Cost

                                              Price                      Basis

Item 1                                   $500                       $2,000                 Capital loss on personal item = $0 loss

Item 2                                   $400                       $300                    Capital gain on personal item = $100 gain

Item 3                                   $100                       $100                    No capital gain or loss

                                              $1,000                   $2,400

In TurboTax Online, to report such a sale of personal items, follow these directions.

• Down the left side of the screen, click Federal.
• Down the left side of the screen, click Wages & Income.
• You may need to click Add more income.
• Scroll down to Investments and Savings and click on the dropdown menu.
• Click Start to the right of Stocks, Cryptocurrency, Mutual Funds, Bonds, Other.
• Click Add investments.
• At the screen Let's import your tax info, select enter a different way.
• At the screen OK, let's start with one investment type, select Other, Land, Second homes, Personal items.

Shipping costs may be recorded at the screen Let us know if any of these situations apply to this sale under I paid sales expenses....

See also this TurboTax Help.

@CA_Olson