mam98031 • Volunteer Community Member • Buyer/Seller since 1999
@sunshinequest wrote:I received a 1099 with almost 13k that I never receive from Ebay. 1. Monies were being held by eBay for AN ITEM authentication, and it did not. Money was returned by eBay to buyer. 2. a table that broke and the buyer withdrew the purchase. I never saw any money only charges for the eBay services. However, it shows as income on the 1099. I called on 2nd person in the tax department?? I asked to speak to a supervisor and was told you deal with it and your accountant. Why should I have to pay an accountant for money I never got? You cannot 1099 someone with money that was never paid. Please explain why I have to show IRS I did not get this money and why could I not speak to a supervisor. Help!
Take a breath, you are making ASSUMPTIONS and you are getting yourself all this upset, why not READ what the form is reporting. You are over reacting because you don't understand the form.
It reports Gross Receipts, which is the total amount of money that came INTO your account. You have to reconcile that number by subtracting your ebay fees, shipping [if done in Ebay] and any refunds to buyers.
https://www.ebay.com/help/selling/fees-credits-invoices/ebay-form-1099k?id=4794
@btjfitter wrote:I claim mine and keep a excel spreadsheat I fill out after every sale for the gross , tax , fees, etc. My 1099 is showing to be off. Anyone else notice this? If i take my gross and subtract the sales tax .Each monthly column on the 1099K is reporting more than I received. I'm not subtracting and other fees just comparing the gross that was recorded in payments and subtracting the sales tax ebay collected from that gross amount when I sold the product . It doesnt add up to the 1099. So far the 1099 reads higher for every month.
I suggest you visit the post I made that is just above your original post. Post number 31. It will likely help you. There is actual other information in this thread that would also likely help you and it would benefit you to read the thread and visit the links provided.
Your misconceptions of the 1099K has been addressed in this thread but just to help, the 1099k represents the total amount of money that went into your account BEFORE ANY DEDUCTIONS. Meaning you need to subtract Ebay fees, shipping charges and any refunds you gave to buyers during the year. Sales Tax is NOT included in the 1099K number.
You should compare your Excel Spreadsheets to the Ebay reports to make sure YOU didn't miss something on your worksheets. There are some good reports.
https://www.ebay.com/sh/fin/reportslanding
Come on back if you have any further questions.
The 1099k represents the total amount of money that went into your account BEFORE ANY DEDUCTIONS. Meaning you need to subtract Ebay fees, shipping charges and any refunds you gave to buyers during the year on Ebay. Sales Tax is NOT included in the 1099K number.
Because you aren't subtracting fees, shipping charges [if purchased on Ebay] and any refunds you gave buyers is exactly why you are unable to balance.
It was the same last year too. This is how 1099ks have always functioned.
