1099 K offsetting

Forum|Forum|1 year ago
March 1, 2025
1 reply
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Using 2024 Premier. I got a late 1099 K after I filed my taxes. The 1099 K was for $8000 that I received for a seat license fee (football tickets). But I paid $7700...so only $300 is taxable. The problem is I can't figure where to offset it. I listed it as Personal property. It either vooms my tax up to the full $8000 or I get errors on the error check saying numbers do not match. What exact entries and how do I get it to take the offset of what I paid for the license? Thank you!

Best answer by MindyB

Since you made a profit of $300, this needs to be reported on Schedule D.

Here's how to report this in TurboTax Online:

Within your tax return go to the magnifying glass icon on the top right, type 1099-K and select the Jump to 1099-K link in the search results
Choose Add a 1099-K
The next screen will ask "Which type of income your 1099-K is for?" choose Personal item sales, then Continue
Enter the information from your 1099-K
After you choose continue, the next screen will show "Personal Item Sales". Choose "Some items were sold at a loss or had no gain", and enter $0.

Now, TurboTax will automatically create a placeholder in investment income.

After completing the 1099-K entry, next navigate to Federal > Wages & Income > Investments and Savings (1099-B, 1099-INT, 1099-DIV, 1099-K, Crypto) > Add/Edit
Select the ticket sales broker that automatically populated
Under proceeds, you will enter the proceeds from the 1099-K ($8,000)
You will enter the total amount paid, which is your cost of the tickets ($7,700)
Continue on and you will be asked if you paid "sales expenses that aren't included in the sale proceeds reported on the form", here you can deduct any related fees.

MindyBAnswer

Since you made a profit of $300, this needs to be reported on Schedule D.

Here's how to report this in TurboTax Online:

Within your tax return go to the magnifying glass icon on the top right, type 1099-K and select the Jump to 1099-K link in the search results
Choose Add a 1099-K
The next screen will ask "Which type of income your 1099-K is for?" choose Personal item sales, then Continue
Enter the information from your 1099-K
After you choose continue, the next screen will show "Personal Item Sales". Choose "Some items were sold at a loss or had no gain", and enter $0.

Now, TurboTax will automatically create a placeholder in investment income.

After completing the 1099-K entry, next navigate to Federal > Wages & Income > Investments and Savings (1099-B, 1099-INT, 1099-DIV, 1099-K, Crypto) > Add/Edit
Select the ticket sales broker that automatically populated
Under proceeds, you will enter the proceeds from the 1099-K ($8,000)
You will enter the total amount paid, which is your cost of the tickets ($7,700)
Continue on and you will be asked if you paid "sales expenses that aren't included in the sale proceeds reported on the form", here you can deduct any related fees.