When you sell on eBay, you may receive a Form 1099-K from eBay, depending on the totals of your sales and transactions. This is to help you comply with your tax obligations.
What is Form 1099-K?
Form 1099-K is an IRS information return that includes the gross amount of all payment transactions you received within a calendar year. The purpose of the form is to help improve voluntary tax reporting compliance. We'll provide you with Form 1099-K by January 31st each year if you have received payments above the minimum IRS reporting thresholds in the previous calendar year.
If you have multiple eBay accounts associated with the same Tax ID, your thresholds are calculated by combining all payment transactions. If your combined sales exceed the threshold, you’ll receive a Form 1099-K for each account, even if one or more of the individual accounts do not exceed the IRS reporting thresholds.
What details are included in a Form 1099-K?
Form 1099-K includes the gross amount of all reportable payment transactions within a calendar year. This amount does not include any adjustments, for example, credits, discounts, fees, refunds, or any other adjustable amounts. Additionally, Form 1099-K does not include sales tax when it is automatically collected and remitted by eBay.
This means that the gross amount on your Form 1099-K may not be the final reportable amount on your tax return. You should consult your tax advisor to determine how best to use the information on your Form 1099-K when filing your personal and/or business income tax return(s).
How will eBay deliver my Form 1099-K?
If eBay provides you with a Form 1099-K, you will see a notification in My eBay and/or Seller Hub, containing a link to retrieve your report.
Here's how to download your 1099-K detailed report in Seller Hub:
- Go to the Payments tab in Seller Hub.
- From the menu on the left, select Reports.
- Select 1099-K detailed report from the drop-down menu.
- Select your preferred date range.
- Select Create report.
Here's how to download your 1099-K detailed report in My eBay:
- Go to Payments in My eBay.
- Select the Reports tab.
- From the menu on the top, select 1099-K Forms.
- Select Request detailed report.
Once your report is available to download, you’ll be notified by email.
Making sense of it all
You can find additional information on eBay Form 1099-K reporting in the Help Hub. If you are opted into Seller Hub, you can find information about reconciling your finances in our financial reconciliation guide. If you have specific questions about reconciling the amounts on your Form 1099-K, we recommend you speak with a tax professional.
As always, thank you for selling on eBay.
