Where to find ebay wages?

[turtleswares17]

On form 1040 line 1 states "wages, salaries, tips, etc." Is this the same as the box on form 1099-k that states "the gross amount of payment card/ third party network transactions" or is there calculations that need to be done to find your wages if so what are those calculations. Please no answers stating to ask a cpa if you do not know the answer carry on no need to comment.

[coolections]

Yes, the 1099 is your wages. From there you deduct cost.

[lepke1979]

Just based on quick searching since I normally have TurboTax do this for me. But if you're doing a schedule C (since I assume you want to write off fees and whatnot), I believe it'd be line 8. And you'd need to attach a Schedule 1 and C.

[monica-sells]

If you want to legally reduce the tax liability (income) and since the 1099-K form reported sales are gross sales you will need to reduce your tax burden by including allowable deductions on IRS Schedule C (1040).

[nobody*s_perfect · Accepted solution]

You are not an eBay employee; you do not get "wages" from eBay. You are self-employed and you need to file a Schedule C.  This allows you to deduct all of your associated expenses such as eBay fees, returns, postage, even the original purchase price of the item that you sold. Then after you deduct your expenses, the net profit from Schedule C goes onto line 3 of your Schedule 1 that goes with your 1040. Take a look at Schedule C and its instructions, which will explain a lot about how the IRS sees this. Here are some other potentially useful IRS pages:

Defining business vs hobby:  https://www.irs.gov/faqs/small-business-self-employed-other-business/income-expenses/income-expenses

Paying taxes if you're a hobby: https://www.irs.gov/newsroom/heres-what-taxpayers-need-to-know-about-paying-taxes-on-their-hobby-act...

[divwido]

HIRE SOMEONE TO DO YOUR TAXES BEFORE YOU MAKE A GIANT MESS.

[turtleswares17]

Thank you for your response. Should I fill out Schedule 1 before my 1040 then or does it not really matter 

[nobody*s_perfect]

Read through the forms. The total from Schedule 1, line 10, goes onto your 1040.

[theteamsetguy]

Turtlesware17,

I don't get it, when you get sick you go to a doctor. But when you don't know how to file your taxes you won't go a CPA who is an expert on taxes. A good CPA is worth every penny because they will save you a lot more in taxes than the couple of hundred dollars you spend on their fees. The advice you get on here is worth what you paid for it. 

It is not hard to find a good CPA just any around.

[turtleswares17]

If I have a glogged sink am I calling a plumber, he** no I'm doing it myself just as I'm doing my taxes myself, don't hire who you don't need. If you think you need a cpa that's your choice not mine AS I HAVE STATED 

[gracieallen01]

@turtleswares17 

I sure hope that you realize if you fill out your tax forms and send it in with the wrong information it is about as bad, and can possibly be a whole lot worse than not filing any tax information at all.  If you don't know what you are doing, ASK someone who does - and an online forum is NOT the place to get trusted information.  Yes, there are a lot of people who know what they are doing, but there are also a lot who just 'think' they know and pass it along as gospel.  Do you know the difference?

[pburn]

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@turtleswares17 wrote:

If I have a glogged sink am I calling a plumber, he** no I'm doing it myself just as I'm doing my taxes myself, don't hire who you don't need. If you think you need a cpa that's your choice not mine AS I HAVE STATED 

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But see, the thing is--and I mean this in the kindest possible way--between this thread and the one you posted about "taxable interest," it's clear you really don't have even the most basic knowledge required to prepare your own taxes this year. From the questions you have posed in the two threads, it's obvious you can't do these taxes yourself, and you do need to hire a professional. 

If you hire someone to advise you this year, you could use that information as a basis to help you file your own taxes in years to come (until the laws and/or forms change, anyway).

[powell-memorabilia]

Don’t name names, but a few sellers have been asking that very same question every week for a few years now.

[theteamsetguy]

Turtlesware17,

Your comparing apples to oranges. A clogged sink is very straight forward and not that difficult to fix. Making a mistake on your taxes can get you a bunch of penalties and fines. Not to mention not hiring a professional you could end up paying a lot more taxes than you have to. 

There are some very smart people in this world and they still hire a CPA to do their taxes. We can agree to disagree. There are many people in this world the are penny wise but pound foolish. 

[dnasilver]

Making a mistake can get you a lot more than penalties and fines. Just ask Al Capone. Those who have all the answers themselves seem to need the most help.