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shipping charges

Hello,

Can anyone tell me, if I charge a customer for shipping, therefore bill them, and add that to the selling price of item. Is that shipping now part of my sales, and included on the tax form 1099.

Also, anyone, know the threshold for 2025, $600, or $2500.. before you receive a 1099.

Thanks

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shipping charges

"Is that shipping now part of my sales, and included on the tax form 1099."

 

For your eBay sales, shipping paid by your buyer is included in the amount reported on Form 1099-K.

That includes both "free shipping" listings (where postage is included in the item's price) and listings in which the buyer pays shipping in addition to the price of the item.

 

Per the IRS announcement dated November 26, 2024 and eBay's announcement dated December 9, 2024:

For tax year 2025, the threshold for the 1099-K will be $2,500 in gross sales during the year.

Beginning with tax year 2026 and the future, the threshold for the 1099-K will be $600 in gross sales during the year.  

 

Remember that these 1099-K issuance thresholds apply to eBay.  

YOU, as an American federal income tax payer, are expected/required to list all your income on Form 1040 or the appropriate version.  

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shipping charges

The buyer's shipping payment is included on your 1099-K, regardless of whether it's charged separately or as part of the item price in a "free shipping" listing. As noted in the other post the 1099-K threshold for 2025 is $2500.

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