Locked
Discussions in this board are limited to the original poster and Community Mentors
Tax
Why do I have to pay tax on an item that is located OUTSIDE the USA? Â Is that tax money sent to that country? Â I understand why I pay it for items located inside the USA.....
1 comment
woodland_gnome
·3 years agoYOU are taxed by YOUR state (including any local governments it authorizes to do so) for buying non-exempt items (a lot of confusion could have been avoided if they called it a "purchase tax" instead of a "sales tax"). eBay collects that tax based on the delivery address (be sure to use your full 9 digit zipcode if there is more than one tax rate in the 5 digit code area, e.g. city vs. county) and remits it to the state. The location of the seller is irrelevant.
Â
Even if it is not collected (e.g. a seller not using a "marketplace facilitator" like eBay or Amazon who does not sell enough into your state to fall under the "long-arm jurisdiction" of your state to require him/her to collect and remit the tax) you still owe it to your state (including locals) and are required to pay it (on the honor system, check your state income tax forms instructions).