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Paying eBay Their Fee (13.25%) on the Sales Tax
I do not think it is proper / lawful / ethical that eBay applies (charges the seller for) their 13.25% fee on the sales tax of an item. We are paying them a fee for a tax paid by the buyer?!? Can someone explain? Thank you.
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woodland_gnome
·2 years agoeBay acts as both a selling venue and a payment collection, and sellers pay fees for both functions. Back when PayPal handled most payment processing it based its fee on the total amount collected from the buyer, as do all payment processors that I am aware of, but eBay based it's "Final Value Fees" on only the price plus shipping fees the buyer paid (years ago it was only on the price but too many sellers evaded the fees by inflating the s/h while deflating the price). When eBay took over both functions it combined both fees into a single fee (which confusingly they continued to call "Final Value Fees") and decided the single fee would be based on the total payment but reduced the rate to lower than the prior total of the two rates.