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New Member
posted Mar 1, 2021 2:54:12 PM

When I enter my 1099k deduction for state taxes that ebay collected but is in my gross what do I call it?

Like if I deduct shipping I call it shipping cost,  just not sure how to accurately call the buyers taxes collected but are included in my gross. Ty

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1 Best answer
Expert Alumni
Mar 1, 2021 3:30:49 PM

Yes, Line 23 of Schedule C is where it goes.   But don't enter it on the same screen as the 1099-K.   In TurboTax Online, select Add Expenses for this work and choose the Taxes and Licences category.    So, you are entering like any other business deduction.    TurboTax will put it on LIne 23 of your Schedule C automatically.  

 

3 Replies
Expert Alumni
Mar 1, 2021 3:09:00 PM

The state sales taxes collected by Ebay and paid on your behalf can be deducted as a business expense under Taxes and Licenses.

New Member
Mar 1, 2021 3:14:03 PM

So I put that in line 23? Another turbo pro told me to just enter it as a deduction as any other. Now I am confused.

Expert Alumni
Mar 1, 2021 3:30:49 PM

Yes, Line 23 of Schedule C is where it goes.   But don't enter it on the same screen as the 1099-K.   In TurboTax Online, select Add Expenses for this work and choose the Taxes and Licences category.    So, you are entering like any other business deduction.    TurboTax will put it on LIne 23 of your Schedule C automatically.