eBay

waytopioneer12 · ‎10-22-2019

I live in Oregon, where there is no sales tax. All of the sudden, for the last couple of weeks, my invoices are including sales tax for my buyers. This has led to many of my buyers not paying for their items. Can someone tell me how to get this option removed from my invoices?

Thank you

slippinjimmy · ‎10-22-2019

Sales Tax is based on the location of the BUYER not the seller. eBay is required by law to collect Sales Tax in many States.

https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121&st=12&pos=3&que...

alcoforever · ‎10-22-2019

The sales tax option cannot be removed.

Sales tax is charged according to where the item is delivered, not where it comes from. Any item coming from anywhere in the world going to e.g. CA will get charged CA sales tax.

Your OR no sales tax only applies to deliveries to OR. Shipments from OR will have sales tax added according to the delivery state.

7606dennis · ‎10-22-2019

While your state is one of the five that has no sales tax, your buyers are not as lucky as you and their state charges them tax. Many states have, rather than trust their residents to follow the honor system as they have in the past with dismal results, enacted marketplace facilitator laws to turn sites like eBay and others into tax collectors for them.

I suppose you could advise your buyers what a wonderful state you live in and invite them to relocate. However, that may lead to a bit of overcrowding in Oregon if too many decided to take you up on it.

"It is an intelligent man that is aware of his own ignorance."

cashvaluerecovery2011 · ‎10-22-2019

Buyers are suppose to pay sales tax in the state or county they buy a good in. Or they could if buying property like a car.....fill out paper work stating they would pay in the state they reside instead. Today though govts have decided to go around the right of people and just have sites steal it for them. Ebay makes a profit of course.

mam98031 · ‎10-22-2019

Sales tax has never been driven by the location of the seller. It is always driven by where the product is being shipped to. So because you are in a state with no sales tax has no bearing on whether your customers in other states do. They have to adhere to the laws of their state.

If your buyers are asking you about the sales tax, refer them to this link.

https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121

mam98031 • Volunteer Community Member • Buyer/Seller since 1999

waytopioneer12 · ‎10-23-2019

But this never was an issue until a couple of weeks ago for me. I never had sales tax added to the invoice for my Buyers.

debsm-6771 · ‎10-23-2019

@waytopioneer12 wrote:
But this never was an issue until a couple of weeks ago for me. I never had sales tax added to the invoice for my Buyers.

New laws took effect recently.

fern*wood · ‎10-23-2019

Ebay has a chart in announcements that shows which month they started collecting the tax in the required states.

dtexley3 · ‎10-23-2019

@waytopioneer12 wrote:
But this never was an issue until a couple of weeks ago for me. I never had sales tax added to the invoice for my Buyers.

The sales tax amounts have been appearing sporadically on the invoices that we sellers see. On the buyers side, it's there if their state has passed a marketplace facilitator rule or law.

If you check the links above you can see when each affected state was added to eBay's sales tax collections.

Member of the Grumpy Old Man crew

mam98031 · ‎10-23-2019

@waytopioneer12 wrote:
But this never was an issue until a couple of weeks ago for me. I never had sales tax added to the invoice for my Buyers.

@waytopioneer12

It's possible you never noticed it before or maybe you just had not had a sale into a state with a Facilitator Law until then. IDK. But the link I provided above gives you the dates each state started their Facilitator law with Ebay.

mam98031 • Volunteer Community Member • Buyer/Seller since 1999

waytopioneer12 · ‎10-23-2019

OK, so what happens to the sales tax that is collected and deposited from the buyer into my Paypal account?

corvettestainless · ‎10-23-2019

It'll only be there momentarily (starting Nov 1st) and then ebay will wisk that money away. You don't have to do anything (except keep track of it as this will be a 'write off' against your gross sales that paypal will report to you and the IRS (if you exceed 20k) or for your own reporting you will do on your Schedule C.