If you receive a 1099-K, know that it might include buyer’s fees you didn’t receive

I'm in a hurry so I might not get everything exactly right but…

A form 1099-K shows what the buyer's credit card was charged for — not necessarily what you received.

(What the buyer pays) minus (buyer fees) equals what you receive. And then probably you paid seller fees, too.

For example, if you sold game tickets for $1,000, but the platform charged the buyer $200, so you only got $800; in this case, the Form 1099-K would show $1,000.

Meanwhile, your "income" to pay taxes on is actually the $800 (minus any other expenses).

So… if you get a Form 1099-K, understand what the buyer's fees were and/or check your bank statement to figure out what your actual revenue was.

Otherwise, you'll end up paying tax on "income" that includes buyer's fees that you never received.

(Sorry, I know this is complicated, but I don't have time to make it simpler right now.)