Locked
Discussions in this board are limited to the original poster and Community Mentors
E
Ebay tax calculations:
Does Ebay charge tax on the shipping added to the sale?
Recently, I was looking to purchase an ite for $1100 and shipping of $122 - the calculated tax was $101. The state and city I live in has a combined tax rate of 8.3%.
it seems ebay is charging tax in the shipping service...
2 comments
monroe67
Mentor6 months ago"Ebay tax calculations:
Does Ebay charge tax on the shipping added to the sale?"
Short answer: Sometimes.
eBay collects sales taxes based on the laws of the state of delivery.
Five states collect no sales taxes at all. Of the remaining 45 states, more than half of them require that eBay (and other similar sales entities) collect sales tax on the shipping price paid by the buyer, as well as the price of the purchased item.
evry1nositswindy
Mentor6 months agoYes, tax is assessed on the total of the purchase, which is the item plus shipping.