How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Barbara Your Own Question
Barbara
Barbara, Enrolled Agent
Category: Tax
Satisfied Customers: 3827
Experience:  20+ years of experience in tax preparation; 30+ years of experience as a real estate/corporate paralegal.
71603090
Type Your Tax Question Here...
Barbara is online now
A new question is answered every 9 seconds

I have an ebay business and am filling out the schedule C through

This answer was rated:

I have an ebay business and am filling out the schedule C through an HR Block program. My question is in regards XXXXX XXXXX

About 99% of my sales were through Paypal, and the W-2 I recieved for my gross was in regards XXXXX XXXXX transactions. However I had also accepted 2 or 3 other payments over the course of the year via e-checks and which were not included in the Paypal W-2 gross total. On the schedule C I have included the total of BOTH paypal and e-check transactions; however although I have record of the e-check sales from Ebay, I don't have verification on any W-2 form for these e-check transactions. Do i just leave as is, totaling both on line 1 even though the W-2 total is less?

bkb1956 :

Thank you for allowing me to be of service to you regarding your tax question. I assume you received a 1099-miscellaneous and not a W-2 as you state in your question. If that is the case, there should be a question in the H&R Block program that asks if you received a 1099-miscellaneous. That is where you would enter the amount from the 1099. There should also be a question in the H&R program that asks if you received income without a 1099--that is where you would enter the amount from the e-check transactions. The program should add these two amounts together for you on your Schedule C. Please let me know if you require further information or clarification on this.

Customer:

Line 6 on the schedule c is for additional income, but I wasn't sure if there was where I put the e-check amounts

Customer:

"finance reserve income, scrap sales, etc...." line 6

Customer:

Line 6 on the schedule C says "other income"...so I'm assuming that's where it goes. Is this correct?

bkb1956 :

Am I correct that you received a 1099 rather than a W-2?

Customer:

yes, it was a 1099

bkb1956 :

All of your income listed on the 1099 plus the e-check income would be included on Line 1 of Part 1 of Schedule C.

Customer:

Okay, that's what I thought

bkb1956 :

Is there anything else I can assist you with this morning?

Customer:

No. You've answered my question. Thank you.

Barbara and 2 other Tax Specialists are ready to help you
Just a short note to thank you for your "excellent" service rating. It is most appreciated.