help with 1099-K form and third party transactions

llayne999
New Community Member

I recently got a 1099-K form based off my sales from a third party service known as depop. Paypal has counted the total amount from each transaction, not discounting the buyer shipping cost and the tax on each item. Buyer shipping is done through the app. Basically you are paid original price + shipping cost, and then the app will automatically take the shipping cost and tax from the total, leaving you will much less or about half the amount. Paypal does not realize that buyer shipping cost and tax is being deducted from my sales and is counting it as income. Anyone have experience with this?

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