Sales report for taxes

[jimaro]

I pulled my sales report on eBay to do my taxes. I really don't understand the numbers 

Maybe some one can straighten me out.

Orders $4556.31

Refunds -239.08

Expenses fees -707.40 shipping labels -21.36 subtotal -728.66

Net transfer 4405.69

I don't get why my shipping labels are only 21.36. I buy all my labels through eBay

What is the total I have to declare for income?

[monica-sells]

are your labels paid for by Paypal or by your current funds available?

there are numerous  threads and help pages to assist you in determining what your tax liability might be.

Once you start and get all the numbers on the right lines, it is rather simple.

[mr_lincoln]

Hi @jimaro 

What eBay provides is only part of the equation.  Download an IRS Schedule C and the Instructions.  You probably have deductions you can apply against the total Orders value to reduce your tax burden ... such as:

1. Mileage deduction:  in 2023 you are allowed to report 65.5 cents per mile when driving your personal vehicle for business.  That means trips to the Post Office, UPS, FedEx, picking up supplies, picking up inventory, etc.  So if you record 2,000 miles multiply that by .655 to get $ 1,310 as a deduction.

2. You can deduct your packaging materials costs too.

3. There are other potential deductions as explained by the instructions for the Schedule C

[jimaro]

My labels are paid for out of current funds

[jimaro]

Thanks for the reply. I'm pretty set on deductions. I used mileage IQ  to keep track of mileage. 

It's just the report I wasn't  sure of

[mr_lincoln]

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@jimaro wrote:

Thanks for the reply. I'm pretty set on deductions. I used mileage IQ  to keep track of mileage. 

It's just the report I wasn't  sure of

---

@jimaro   Ahhh, got it.  

[caldreamer]

IRS requires that you report "gross sales" of $4,556 (then deduct "refunds, EBAY fees, shipping expense and other expenses (cost of goods sold, mileage, packing materials, office supplies).    Anything used for your business is tax deductible.   You only pay taxes on "net amount" after all expenses are deducted.

[dbfolks166mt]

     I am not sure which report you pulled but something about the numbers is not adding up. How many items did you actually sell in 2023? The $21.26 seems very low for about $4.5K in sales unless you only sold and shipped a few higher dollar items. 

     For just the eBay expenses you have shown if you take take the orders - the eBay expenses you get

     $4556.31 - ($239.08  + $707.40 + $21.36) = $3,588.47 

which is considerably less than the $4,405.69 that is shown as your net transfer.  How do the eBay numbers compare to your own accounting records? You are in New York so I am assuming you did not get a 1099-K from eBay but something is off with the report numbers you are getting. 

     As to what you report on taxes for your actual net income others have already covered some of the other expenses that you deduct. 

[jimaro]

I pulled a payment summary report.

I sold 99 items for an average of $46 each. 

I pulled a different report (performance and sales)  and got different numbers 

Total sales 4600.24

Selling costs (fees and shipping) $1208.92

Net sales $3108.31

[slippinjimmy]

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@jimaro wrote:

I pulled a payment summary report.

I sold 99 items for an average of $46 each. 

I pulled a different report (performance and sales)  and got different numbers 

Total sales 4600.24

Selling costs (fees and shipping) $1208.92

Net sales $3108.31

---

You should download the Transaction Report, it is the most detailed of all, includes every single transaction  in detail, sales, refunds, shipping labels, eBay fees, payouts, Item details, Buyer details, Sales Tax etc.

https://www.ebay.com/sh/fin/report

It's a .csv file you can load into Excel (or similar)

[dbfolks166mt]

I pulled a payment summary report.

I sold 99 items for an average of $46 each. 

I pulled a different report (performance and sales)  and got different numbers 

Total sales 4600.24

Selling costs (fees and shipping) $1208.92

Net sales $3108.31

     While these numbers are closer they are, I believe, missing the refunds. You need to pull the report slippinjimmy references and rack and stack the data in an excel spreadsheet to get the totals for all your eBay selling expenses: FVF's, refunds, shipping labels........... 

[dhbookds]

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@jimaro wrote:

I pulled my sales report on eBay to do my taxes. I really don't understand the numbers 

Maybe some one can straighten me out.

Orders $4556.31

Refunds -239.08

Expenses fees -707.40 shipping labels -21.36 subtotal -728.66

Net transfer 4405.69

I don't get why my shipping labels are only 21.36. I buy all my labels through eBay

What is the total I have to declare for income?

---

give a link to that report..........it won't go to your report, but to our individual reports so we can see exactly what it is......

This is the report (expand it to last year)  that I'm using for taxes

https://www.ebay.com/sh/fin/reportslanding

[luckythewinner]

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@jimaro wrote:

I pulled my sales report on eBay to do my taxes.

---

I download a raw transaction report for the year, and calculate my own totals. When it comes to my tax return, I would never rely on math done by someone else.  

[ckimodog]

@jimaro 

My suggestion would be to contact a tax attorney or someone who prepares taxes for a living.  I believe they would be the ones that would be most helpful, as they are trained in this specific line of work.

Good luck to you!!