A State Sales Tax was applied by eBay to two transactions to buyers in the US… one sale to New York (November 12) and the second to Arkansas (November 17)
The Paypal fee was calculated as 30 cents ($0.30) plus 4 % of the total for ….. item price plus shipping cost.
The calculation of the Paypal fee … did not … include the amount for State Sales Tax.
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It took me a while to figure this out..... a seller who lives in Canada and sells to US buyers. This is why the percentage is 4 % and not lower as it is for US sellers selling to US buyers.
As Canadian sellers we in Canada have lived with a Provincial Tax (PST) and Federal Tax (GST) for many, many years. Canadian buyers do not question the charging of a PST or a GST. Some Canadian provinces have a Harmonized Sales Tax (HST) which is a sum of PST plus GST. Canada Revenue Agency has rules that are specific to the charging of GST and HST...
It will take a while but US buyers will eventually adjust to the application of a State Sales Tax for purchases on eBay and elsewhere on the internet.
