eBay Dispute Refunds / Third Party Payout Going Towards Total Sales?

[HipHop615]

I had a look at my Year-To-Date Financials and I was curious why my total sales were so high, I am only at $18,XXX and it says I am at $22,XXX.  After looking at Activity Report Export CSV File it looks like it factored in two eBay Refunds / Disputes that were when I was a buyer.  One was for $4,100 and a second one was for $491.03.   They are labeled in the CSV file as a "Payment Recieved" & "Third Party Payout".    Since these two transactions are going towards sales it's going to automatically generate a 1099 next year.  I DO NOT want to pay taxes on a refund I recieved.  That makes zero sense.  Anyone have insight? 

[Whac-A-Mole]

if the seller refunded from the original transaction,it would not be counted as sales.

if you do get a 1099k next year,just deduct these 2 amounts from the total.

[Whac-A-Mole]

1099 is always gross,deduct returns,refund,chargback fees,sales tax.

[HipHop615]

Correct I understand that; that is why I am confused as why it is going toward "Total Sales" in my year to date financial reports produces by PayPal.   I called PayPal and they said "Third Party Payouts" may go towards sales when it simply is NOT A SALE.  It is a refund on a hich ticket purchase that was never sent to me so I had to go through eBay Resolution center.  

[Whac-A-Mole]

when you do your income tax return,just deduct that amount.