eBay

ann_6734 · ‎01-27-2018

I use my paypal exclusively for ebay sales and I just receied my first 1099 from Paypal this year. Why is it that I am seeing a difference between what paypal is reporting vs. my ebay sales? The Paypal 1099 lists everything out by month so I compare it to the Sales tab under my Ebay performance month by month. Each month, Paypal is higher, sometimes about a few hundred dollars. Am I missing something?

anthemshop247 · ‎01-27-2018

The figures from the 1099 is what is provided to IRS.

Regarding the differences in totals between the two reports, the cutoff dates could be a big factor and that is when accountants make adjusting entries.

ann_6734 · ‎01-27-2018

The amount that is shown from the Paypal 1099 is the total revenue, meaning I would have to deduct Paypal fees from that amount?

dbmm-media · ‎01-27-2018

when you do your taxes, you fill out schedule C, you list your expenses

luckythewinner · ‎01-27-2018

wrote:
I use my paypal exclusively for ebay sales and I just receied my first 1099 from Paypal this year. Why is it that I am seeing a difference between what paypal is reporting vs. my ebay sales? The Paypal 1099 lists everything out by month so I compare it to the Sales tab under my Ebay performance month by month. Each month, Paypal is higher, sometimes about a few hundred dollars. Am I missing something?

PayPal shows the total money received into your PayPal account each month. eBay show whatever they decide were your monthly sales. The two may not match because they are two different entities reporting different things.

For instance, a sale on Dec 30th might not be paid by the buyer until Jan 2nd. That may show up in Dec for eBay and Jan for PayPal. Also, is the eBay number you are looking at including the shipping amount the buyer paid? PayPal is.

partial*eclipse · ‎01-27-2018

PayPal's total on your 1099-K includes your total payments received including whatever the buyer paid for postage, as well as any money that was credited or refunded. The credits and refunds would be an expense reported on your Schedule C.

PayPal produces a handy 2-page "Annual financial Summary" Report that has a line item not only for your total PayPal income but also for total refunds and PayPal fees paid.

mr_lincoln · ‎01-27-2018

@ann_6734 PayPal totals are for both the Item and the Shipping Paid by the Buyer on a transaction. I know eBay only shows item sales dollars on the seler Dashboard ... not sure if they show PAID shipping totals anywhere or not.

Regards,
Mr. Lincoln - Community Mentor

partial*eclipse · ‎01-27-2018

wrote:
... not sure if they show PAID shipping totals anywhere or not.

You can run PayPal transaction reports on the keyword USPS to get your total postage purchased.

ann_6734 · ‎01-27-2018

Thanks, the annual financial summary was helpful. When looking at my sales activity, the payments received should tie to my 1099 form right? It is off by only $6. The payments received - refunds sent comes really close to my sales for the whole year based on the ebay's performance on my dashboard.

But now that you mentioned ebay sales does not actually include the shipping paid by buyer, I was expecting a pretty big difference beceause I charge shipping on most of my items.

On a high level from Paypal, I would just be deducting the below lines from my financial summary from my revenue?

-Fees (payment fees - refunded fees)

-Purchase activity (assuming everything purchased was for shipping)

thedazeofyore · ‎03-20-2018

My ebay annual sales for 2017 were 18K and change, paypal which I only use for ebay shows 23K and change, my shipping costs were less than 1K and ebay charges me 9.7% so paypal is off by a long shot.

luckythewinner · ‎03-20-2018

First. the shipping costs you paid and your eBay fees have no effect whatsoever on your PayPal 1099. They are not even part of the equation.

Second, PayPal's 1099 shows the dollar total of payments sent to your account. Nothing more, nothing less. I think you will find that if you add up all the payments you recieved for the calendar year, it will be correct.

I think you will find that the discrepancy is down to your calcualtion of your annual eBay sales.

thedazeofyore · ‎03-20-2018

No, I have eBay's printout showing my annual / monthly sales, another thing, eBay shows 292 transactions and paypal shows 328, this is for the exact time period.

fern*wood · ‎03-20-2018

@thedazeofyorewrote:
No, I have eBay's printout showing my annual / monthly sales, another thing, eBay shows 292 transactions and paypal shows 328, this is for the exact time period.

Did you have any returns. I subtract any refunds.