1a records Gross Payment Card/Third Party Network Transactions (payment card/third party network transactionsj
1b records Card Not Present Transactions (card was not present at the time of the transactions or the card number was keyed into the terminal. Typically, this relates to online sales, phone sales, or catalogue sales.)
Both boxes records gross amounts.
Gross amount means the total dollar amount of total reportable payment transactions for each participating payee without regard to any adjustments for credits, cash equivalents, discount amounts, fees, refunded amounts, or any other amounts. The dollar amount of each transaction is determined on the date of the transaction.
Adjustments for expenses, etc, have to be deducted on your return. Please consult tax professional.