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Why does ebay tax stamps?
Seller says taxes are collected by ebay. Sellers have nothing to do with taxes.
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Seller says taxes are collected by ebay. Sellers have nothing to do with taxes.
monroe67
Mentor1 year ago"Seller says taxes are collected by ebay." TRUE.
The laws of the 45 states that collect state-wide sales taxes all require eBay to collect sales taxes from buyers -- at the rate in effect in the zip code of the buyer's delivery address. Those laws also require eBay to send those taxes to the appropriate state's taxing authority/government department.
"Sellers have nothing to do with taxes." Because of all those laws mentioned above, that statement is also true. eBay sellers do not add sales taxes to their listings. eBay sellers do not receive any of the sales taxes that their buyers have to pay. BUT eBay sellers do pay a Final Value Fee (FVF) to eBay in a percentage of the sales tax amount. In most cases, the percentage is 13.6%, but it could be as high as 15.3%.
Now: Why does eBay tax stamps? Questions on eBay's taxation of sales-tax-exempt items come up frequently on these forums. What happens wa-a-a-ay too often is that the seller chooses an incorrect category for sales-tax-free items, a category that that doesn't match with the sales-tax-exempt status of the product, in your case, stamps, in your state. That's probably what happened with your purchase.
house*of*paws
Mentor1 year agoHi @seasideclub
The seller is correct. eBay collects tax according to the laws of the state the item will be delivered to. It is the legislators of the individual states that tell eBay WHAT to tax.