1099-K Reported Numbers Do Not Match

[retro_delmarva]

Has anybody else recently got their 1099K from eBay and noticed that the reported numbers are doubled?

With the records I keep i had a good idea of what my gross sales would be this year. The #s that were sent on my 1099K however did not match my records or even the records on eBay own sales reports. My best guess is if you look at the first picture you'll notice how each "Box" is listed and then repeated. The Box 1a on the list 17,356.46 is the correct number. But if you look at the second picture Box 1a reports double that amount 34712.92. Who should I contact to get this corrected? Thanks

[katzrul15]

There is another Seller who posted on the boards stating the same thing.............let's hope it is just an online glitch.  Have you reached out to e-Bay to advise?

(8) eBay for Business | Facebook

[downunder-61]

On the other thread by @optimus.prime   - he also stated: 

I vaguely remember this happening last year as well, and it corrected itself in a couple days. The one I got in the mail was accurate.

The 1099 just popped up on my dashboard. I did not get a message/email yet telling me it was ready. I'm hoping it will resolve itself by the time I get the email from ebay.

https://community.ebay.com/t5/Selling/1099k-Showing-Double-for-Everything/m-p/32663974#M1931617

[asset_liquidators]

Wow. They really screwed that up. These are some of the problems everyone was worried about when they decided that they were going to "manage" our payments. One glitch after another and that is a SERIOUS glitch.

Fact is, if they send that to the IRS they are certainly going to be putting the spotlight on themselves. They can get away with brushing off their paying customers with the "it's just a glitch" attitude but the "it's just a glitch" isn't going to fly with the IRS because one quick glance at that 1099 and it is obvious their numbers don't match.

I just printed mine and it looks to be correct. Sorry you are having to deal with this.  

[m60driver]

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@katzrul15 wrote:

There is another Seller who posted on the boards stating the same thing

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This is my fear, that this inept company that is notorious for glitches and errors will screw up the tax reporting and will take no responsibility for errors that are reported to the IRS.

[dbfolks166mt]

     I have not received mine from eBay yet but my assumption is that it is in the mail. You contact eBay regarding the error and they must correct it by no later than 28 February. If they do not make the correction by then your first step is to contact the IRS at 800-829-1040. It may be that eBay will refuse to correct the 1099, which is probably to their detriment with the IRS, but if that happens you can go ahead and do your taxes and use the correct number and include a letter with your taxes as to why there is a discrepancy. 

     I went through this last year with a third party financial provider and they finally managed to correct the error and get me a new 1099 prior to the 28 February deadline. The IRS can fine a company for failure to correct a 1099 so I am sure eBay will get this taken care of but it's discouraging that their record keeping is this poor. 

[optimus.prime]

Yeah, mine is doubled as well. I'm really hoping it corrects itself.

I did get ahold of eBay. They were of 0 help. They basically said "If you want to claim that it is doubled, you must make a excel spreadsheet with each transaction discrepancy and the date."

Which, really makes no sense in this situation.

Please don't hold me to this, but I VAUGELY remember this happened last year. I believe I took a look at it online, there was way to many lines on the second sheet and the numbers were super high. And I thought to myself "No way a company as big as eBay would screw up 1099s." I got it in the mail and is was correct. I then downloaded it from the website to file my taxes, and it was correct.

I'm hoping when we get the email saying "Your 1099 is ready to download!" it is corrected. I really don't want to go through the trouble of calling ebay and the IRS to get it taken care of when it is SO CLEARLY doubled.

[caldreamer]

Have you factored in your shipping costs?    1099 shows gross amount (purchase price + shipping costs).    When you deduct your business expenses (be sure to include shipping costs).

[optimus.prime]

I offer free shipping on all purchases.

Every numerical value is doubled. It’s not an error on my part. 

[wastingtime101]

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@caldreamer wrote:

Have you factored in your shipping costs?    1099 shows gross amount (purchase price + shipping costs).

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It's an obvious error, not about shipping costs or order cancellations being included. The line items and totals in the screenshots posted on both threads are literally duplicated and doubled. My form does not look like that.

[dbfolks166mt]

This is my fear, that this inept company that is notorious for glitches and errors will screw up the tax reporting and will take no responsibility for errors that are reported to the IRS.

They may get by with trying to sell that excuse to the sellers but I am pretty sure it's not going to fly with the IRS. The IRS can/will and does fine companies who fail to meet 1099 reporting deadlines and accuracy requirements. If the IRS receives thousands of calls from sellers after 28 February, which is the deadline for eBay to fix the errors, I am pretty sure the IRS is simply not going to ignore it. 

[monroe67]

Good lord, what a mess!!  

I expect eBay's legal and/or tax department people are going to get a real workout tomorrow.  

Unfortunately, I am not surprised.  We all must be diligent . . . . . . .

[monroe67]

Payers (like eBay) have to send the 1099 forms to recipients by the end of January.  

Those payers do not have to send the info to the IRS until the end of February.  

That gives the recipients one calendar-month to contact the payers and either get an explanation OR have the payer issue a corrected 1099.   When I worked with IRA savings accounts at that bank in my past, the first few days of February we got a lot of calls about 1099-Rs, which we had to send to people who had closed their IRA accounts.  

I am thankful that I didn't sell enough on eBay in 2021 to meet the 2021 minimums for issuance of a 1099-K.   I'm not looking forward to next year, however.   Hope eBay fixes this multiplication error by then!

[singular-source]

Pain in the ass.  I can't imagine the weight of the new $600 limit on eBay and the IRS...Not to mention the every other company that must adhere to this limit.  IRS is going to be eaten alive.  What a stupid stupid addition to that bill...Step it down slowly!!!

[singular-source]

20k to 600, everyone ready to handle that after a pandemic...absurd.