2. misc-audio
  3. 163567-94588

1099-K from PayPal (tax form)

It looks like I am getting a 1099-k form from PayPal for the first time. I sold a lot of audio items last year, used, while upgrading my system and swapping things around. Obviously I am not a business, not in this for profit, and did not make money, lost money. It’s just a hobby, a costly one.

I am guessing I have to report this with my taxes. However, the form only has the gross proceeds from PayPal, not my original purchase price. How do I deal with this? Any particular section on Turbo Tax to enter these?
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Showing 1 response by vivahifi

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vivahifi
15 posts
 
In addition to the OP problem, PayPal reported all my proceeds even transactions that were immediately canceled and refunded before any merchandise changed hands. This has the effect of overstating my taxable income by $7,000. I have been trying to get PayPal to send me a corrected 1099.

My advice is if you get a 1099 from PayPal, check it carefully to make sure they aren't overstating your income.
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