TAXES 2022 Taxes and government fees paid by buyer to you

[Username01]

Hello,

Last year I sold electronics on eBay and the total amount was $36,252.46.

The eBay fee was $5478.54 and shipping fee was $895.2 and Taxes and government fees paid by buyer to eBay were $1,568.77 .

Could I add the Taxes and government fees paid by buyer to eBay ($1,568.77) as a expense ( to subtract from my gross income)?

Should I go to "Other Common Business Expenses" and enter the Sales Tax deduction($1,568.77) under "Taxes and Licenses"?

On the 1099-K the total amount is 36,252.46.

Ebay report says that 36,252.46 is "Total sales (Includes taxes)"

Also, in my case , should I select that my "business" is Qualified Business Income?

Thanks,

John

[ColeenD3 · Accepted solution]

Yes to all of the above. Ebay gives you the total income. Any expense you incur is deductible on your Schedule C. Your business does produce Qualified Business Income.