1099k tax form

Question

I sold an item for $1300 but had to refund the entire amount do I still have to claim that in the 1099k tax form, or is it exempt because I didnâ€™t technically make a profit?

wooden_flower · Answer

@ryha-3696

If you receive a 1099k, you want to put it on your tax return, do not ignore it. Then you subtract the same amount on a different line, so that you have 0 profit.

I canâ€™t see what state you are in, so I donâ€™t know if you will get a 1099k. Check here - https://www.ebay.com/sh/fin/taxforms

Hereâ€™s the IRS info on where to record the 1099k and the same amount as your cost, if you did get a 1099k -

https://www.irs.gov/businesses/what-to-do-with-form-1099-k