Reporting eBay and other one time sales, pls help!

[Jiryn]

I'm self employed, so I am no stranger to 1099-K forms.

Last year, to pay for some out standing bills/loans I sold off my 20yr old Transformers Toy Collection and various retro video games.  $6000 total, with 2k on eBay and the rest through forums with payment via eBay.

Because of this, and the new law, eBay has sent me a 1099-K form, along with the 4k showing up on my Paypal income.

How and where do I put this on my Taxes? I've heard it can be written off because it is a one time thing, or what?

The only info I can find is the old law that you don't need to report eBay unless it was over 20k and 200 sales. Which I thought was changed to having to report if it's over $600 as of 2022.

[TeresaM]

If you have received a Form 1099-K which has amounts that are personal items or collectibles sold, you should enter the Form 1099-K as it is received, in the Other Common Income section, so that it matches what was reported to the IRS.  

In addition, you will complete Form 8949 on the sale, to allow you to document your costs and so it is categorized as a capital gain or loss. 

For TurboTax Online Form 8949:

1. Go to Wages and Income
2. Scroll to Investments and Savings, select Show More
3. Select Start for Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B).
4. On Your Investments and Savings Summary screen, you’ll see a line item for your 1099-K payment. Select Edit or Review and enter the information for your collectible items sale. 
   • Be sure to select Collectibles  under the What type of investment did you sell?
   • The Cost or other basis amount should be the amount you originally paid for the item.
5. Select Continue when you’re finished to go to the Review your Sales screen.
   • If there was more than collectible item sale included in the 1099-K amount, select Add another sale to add each item.

[Jiryn]

Thank you!
There were over 300 figures sold, but I sold them as a sets.

(I.E. Series 1, Series 2, Series 3)

Do I list each figure, or the sets or what?

[Jiryn]

One last question.
Since it was during last year, does it need to be reported?

This what eBay says on their site

Changes to the IRS minimum reporting threshold in 2023

The IRS is lowering the Form 1099-K reporting threshold, but has delayed the date of the change by 1 year. Starting on January 1, 2023, IRS regulations require all businesses that process payments, including online marketplaces like eBay, to issue a Form 1099-K to sellers who receive $600 or more in gross payouts. If you receive $600 or more in gross payouts over the course of the 2023 calendar year, we'll provide a Form 1099-K to you by January 31, 2024. Your 2021 and 2022 tax obligations aren't affected by this change.
So, I don't have to report it?

[ee-ea]

So, I don't have to report it?   Sorry, you do.

Your 2021 and 2022 tax obligations aren't affected by this change. So true. You must report business income on your tax return.  That part of tax law has not changed.  EBay doesn't have to report to the IRS but you still have to.