The main thing to remember is that "Shipping" is treated like anything else in GoDaddy Bookkeeping. If you have more Shipping Income than Shipping Expense, that counts toward your Profit, and you will need to pay taxes on it. If you have equal Shipping Income as Shipping Expense (that is, you didn't charge your customers more than you paid to ship an item), the net total won't affect your Profit, but there's still a record of it in GoDaddy Bookkeeping.
When you have both eBay and PayPal pulling data into your account, you can easily track Shipping Income and Shipping Costs:
* Shipping Income is the amount you charge a customer for shipping, usually "tacked on" to the winning bid.
* Shipping Cost is what you actually end up spending to ship an item to that customer.
Both of these amounts come in from PayPal, and the main thing to remember is that if you end up collecting more Shipping Income than you spend, that counts toward your Profit. If you have equal Shipping Income as Shipping Cost (that is, you didn't charge your customers more than you paid to ship an item), the net total won't affect your Profit, but there's still a record of it in GoDaddy Bookkeeping, even if it nets out to zero.
If you don't pay for shipping through PayPal, but instead go to the post office and pay with a Credit Card, you can still use GoDaddy Bookkeeping to automatically get the amounts. Say you pay at the Post Office with an AMEX card you've linked to GoDaddy Bookkeeping. The first time you go to the Post Office and pay with the card, you'll see a charge show up in GoDaddy Bookkeeping, probably under "Uncategorized". You only need to classify this as the category as "Shipping Cost" one time, and from then on every time you visit that same Post Office, GoDaddy Bookkeeping will automatically put it in your Shipping Cost category. The total you spend on shipping for the year will also show up on your Schedule C under "Other Expenses".