Sales tax charged on items sold that the buyer pays
I get it that eBay charges fees on the entire amount of a sale( item and shipping cost) because they are handling the money. But why is eBay charging sales tax on the amount paid for shipping cost? When you buy a label from the USPS site direct or go to the post office, tax in not charged on the shipping cost !?!
2 comments
woodland_gnome
·3 years agoEven for those states who show in the various tables as generally not including shipping fees in the price for sales tax calculation, many have fine print that requires it in certain situations, which situations usually are what prevail in eBay transactions (e.g. the "shipping" charge can include fees for "handling").
wooden_flower
Mentor3 years agoEach state determines what is taxable. More states than not consider the shipping to be an integral part of an online purchase, so it is taxable.
If your state considers the shipping taxable, complain to your state legislators - they are the only ones that can change it.