Why does Flipwise report a different amount for Gross Income than eBay?

This is not tax advice. Please consult with a tax expert.

You might notice slight differences between the gross income amounts that Flipwise shows for your eBay sales and the numbers reported by eBay. This happens because eBay uses many different formulas to calculate gross income depending on where you look. In fact, eBay has 3 main reporting tools — the Sales performance report, the Finance report, and the Tax report — and each uses a different formula for gross sales. This means eBay's gross sales numbers it generates for you often don’t match across its own reports!

For simplicity and consistency, Flipwise uses a single formula to calculate gross sales, which is the same formula that eBay uses for its annual Tax report. Here’s how Flipwise defines gross income:

  • Total sale amount plus buyer paid shipping and handling for each order
  • All revenue from non-canceled orders is included, even for orders that were partially or fully refunded
  • Revenue from canceled orders that were refunded is excluded
  • Buyer paid sales tax is excluded

So the gross sales number reported by Flipwise will likely not match the eBay sales performance report or the eBay Financial report, but it will match the eBay end-of-year Tax report.

You can read more directly from eBay about what they include in their 1099 gross sales amount, which Flipwise aligns with.

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