1099-K for reselling tickets on Stubhub/Ticketmaster/etc

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Topic Author
tig519
Posts: 2
Joined: Sat Apr 01, 2023 5:00 pm

1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by tig519 »

[Previous thread was viewtopic.php?t=370064 - moderator prudent]

I'm resurrecting this question as I didn't see an answer to my specific question.

I bought NFL season tix. I resold games I could not go to through NFL Ticket Exchange, sold some at a loss (pre-season games) with a net profit of about $400 total. I got a 1099k for what the person who bought the tickets paid (so Gross Sales which appears to be the requirement) It doesn't subtract any Fees and their 15%% cut. It also doesn't identify the cost I paid. I honestly don't remember if NFL Exchange (managed by TM) charged tax. You may think, of course they did... BUT, and this is a big BUT... NFL is Tax Exempt! (yep, I was shocked too). So is the NHL & PGA in case you're curious.

I'm on the borderline for filing itemized by about $500. When I was guided through turbo tax for entries, one question it asked me was what amount of the $8000+ TM reported on the 1099k did not collect tax. So the original price I paid wasn't taxed and I'm guessing the resell wasn't taxed either as it was "NFL Exchange" as the platform managed by TicketMaster.

How the heck do I report that??? Shouldn't I only pay for tax on the $400 profit? Or am I suddenly on the hook for taxes for the whole Gross Amount??? That would be crazy!

Thanks in advance for the responses.
runner3081
Posts: 5994
Joined: Mon Aug 22, 2016 3:22 pm

Re: 1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by runner3081 »

You file a Schedule C. Gross revenue, less expenses and then pay SS taxes and other taxes on your profit.
toddthebod
Posts: 5737
Joined: Wed May 18, 2022 12:42 pm

Re: 1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by toddthebod »

tig519 wrote: Sat Apr 01, 2023 5:27 pm [Previous thread was viewtopic.php?t=370064 - moderator prudent]

I'm resurrecting this question as I didn't see an answer to my specific question.

I bought NFL season tix. I resold games I could not go to through NFL Ticket Exchange, sold some at a loss (pre-season games) with a net profit of about $400 total. I got a 1099k for what the person who bought the tickets paid (so Gross Sales which appears to be the requirement) It doesn't subtract any Fees and their 15%% cut. It also doesn't identify the cost I paid. I honestly don't remember if NFL Exchange (managed by TM) charged tax. You may think, of course they did... BUT, and this is a big BUT... NFL is Tax Exempt! (yep, I was shocked too). So is the NHL & PGA in case you're curious.

I'm on the borderline for filing itemized by about $500. When I was guided through turbo tax for entries, one question it asked me was what amount of the $8000+ TM reported on the 1099k did not collect tax. So the original price I paid wasn't taxed and I'm guessing the resell wasn't taxed either as it was "NFL Exchange" as the platform managed by TicketMaster.

How the heck do I report that??? Shouldn't I only pay for tax on the $400 profit? Or am I suddenly on the hook for taxes for the whole Gross Amount??? That would be crazy!

Thanks in advance for the responses.
Do not file Schedule C as the other poster suggested. The IRS addresses your exact situation:
In a single online transaction on an online marketplace, I sold two sets of four tickets (I bought for personal use) to two separate sporting events for $1,000 (one set for $800 and the second set for $200) and I received Form 1099-K. I purchased each set of tickets for $250 ($500 total) two months prior to selling them. How do I report the sale on my tax return? (added December 28, 2022)

A. You must report the gain and loss separately because the loss on the second set of tickets cannot offset the gain on the first set of tickets.

The $550 gain from the sale of one set of tickets ($800 sales price - $250 purchase price = $550 gain) must be reported as short-term gain on Form 8949 and Schedule D.

The $50 loss transaction from the other set of tickets ($200 sales price - $250 purchase price = ($50) loss) should be reported as follows:

Form 1040, Schedule 1:

Part I – Line 8z, Other Income. List type and amount: "Form 1099-K Personal Item Sold at a Loss…. $200" to show the proceeds from the sale reported on the Form 1099-K

and

Part II – Line 24z, Other Adjustments. List type and amount: "Form 1099-K Personal Item Sold at a Loss…. $200" to show the amount of the purchase price that offsets the reported proceeds.
https://www.irs.gov/newsroom/form-1099- ... ns-general
Topic Author
tig519
Posts: 2
Joined: Sat Apr 01, 2023 5:00 pm

Re: 1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by tig519 »

toddthebod wrote: Sat Apr 01, 2023 6:54 pm
Do not file Schedule C as the other poster suggested. The IRS addresses your exact situation:
In a single online transaction on an online marketplace, I sold two sets of four tickets (I bought for personal use) to two separate sporting events for $1,000 (one set for $800 and the second set for $200) and I received Form 1099-K. I purchased each set of tickets for $250 ($500 total) two months prior to selling them. How do I report the sale on my tax return? (added December 28, 2022)

A. You must report the gain and loss separately because the loss on the second set of tickets cannot offset the gain on the first set of tickets.

The $550 gain from the sale of one set of tickets ($800 sales price - $250 purchase price = $550 gain) must be reported as short-term gain on Form 8949 and Schedule D.

The $50 loss transaction from the other set of tickets ($200 sales price - $250 purchase price = ($50) loss) should be reported as follows:

Form 1040, Schedule 1:

Part I – Line 8z, Other Income. List type and amount: "Form 1099-K Personal Item Sold at a Loss…. $200" to show the proceeds from the sale reported on the Form 1099-K

and

Part II – Line 24z, Other Adjustments. List type and amount: "Form 1099-K Personal Item Sold at a Loss…. $200" to show the amount of the purchase price that offsets the reported proceeds.
https://www.irs.gov/newsroom/form-1099- ... ns-general
Thanks- it's just very confusing as the reporting for the payment platform (Ticketmaster in this case) is reporting the amount the payer paid, it doesn't even show their revenue from the sale. I hope for next year they add in those details, in this case, TM had all the info (original price paid, sold for and their fees).

The other thing that threw me was the tax question as there was no tax on the transactions, not just on my part. But when I select "some or all items were at a loss, it didn't ask that question from me." It was freaking me out if I had to pay all the taxes just because I resold them.
jhawktx
Posts: 442
Joined: Thu May 19, 2011 8:15 am

Re: 1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by jhawktx »

This is a series of sales and should be reported on Schedule C.
jhawktx
Posts: 442
Joined: Thu May 19, 2011 8:15 am

Re: 1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by jhawktx »

jhawktx wrote: Sat Apr 01, 2023 8:53 pm This is a series of sales and should be reported on Schedule C unless you only sell them as personal items. That way you can net the loss against the gain.
jhawktx
Posts: 442
Joined: Thu May 19, 2011 8:15 am

Re: 1099-K for reselling tickets on Stubhub/Ticketmaster/etc

Post by jhawktx »

jhawktx wrote: Sat Apr 01, 2023 8:53 pm Deleted
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