Taxes: Why does ebay charge me taxes when I make a sale and Im from Oregon!!?
Hello everyone
I'm a seller. I don't know why I didn't come forward with this earlier but howcome
every time I make a sale to a buyer coming from a state with sales taxes,
Ebay deducts from both of us and I'm from Oregon? On what ground does
Ebay do that, where does it say on ebay this is justified? What prompted me
to post this question is that I read an Ebayer's thread with same concern
that he contacted Ebay and that they refunded him the money (He is a buyer
And I'm a seller not it should matter right) and if it proves right then what,
they're gonna refund me some 50 transactions where they charged me
With sales taxes?
I hope someone has the answer to this, thank you!
5 comments
stephenmorgan
·1 year agoIf you look at the Order Details for each order it shows the total amount the buyer paid and then it accounts for how the money was distributed.
stainlessenginecovers
·1 year agoYou were NEVER charged sales tax so those 50 transactions are 100% NOT an issue.
monroe67
·1 year ago"I'm a seller. I don't know why I didn't come forward with this earlier but how come every time I make a sale to a buyer coming from a state with sales taxes, Ebay deducts from both of us and I'm from Oregon?"
The buyer pays sales taxes at the percentage rate that applies to the shipping address in the state of delivery.
eBay shows you, the seller, the amount of sales tax as part of the total amount* that your buyer pays. I imagine your buyer probably also paid for postage.
Then, eBay subtracts that precise amount of sales tax, and sends it to the taxing authorities in the state of delivery. eBay is required to do so. That is where you got the mistaken idea that eBay was "charging [you] sales taxes."
*You are shown the total amount paid by your buyer because that is the amount to which eBay applies their Final Value Fee (FVF) percentage. eBay does withdraw FVFs before they send your payout money to your bank.
"On what ground does Ebay do that, where does it say on ebay this is justified?"
The US Supreme Court decision in South Dakota v Wayfair, Inc., June 21, 2018, is "grounds" for eBay doing these two actions: (1) calculating and collecting sales taxes from eBay buyers and (2) sending that sales tax money to the state of delivery. State laws that stemmed from that Supreme Court decision actually require eBay to do those things.
"What prompted me to post this question is that I read an Ebayer's thread with same concern that he contacted Ebay and that they refunded him the money (He is a buyer And I'm a seller not it should matter right) and if it proves right then what, they're gonna refund me some 50 transactions where they charged me With sales taxes?"
No, that is not right. Remember: the buyer pays sales taxes. The seller does not pay sales taxes.
If, in that other thread, that buyer posted that eBay overcharged him sales taxes and he proved it to eBay well enough that eBay refunded him, well, good for him, I guess.
No, eBay is not "gonna refund [you]" -- an eBay seller -- "some 50 transactions" because eBay did not charge you, the seller, with sales taxes.
kensgiftshop
·1 year agoThe buyer pays the sales tax, not you.
When the buyer pays, all the money is sent to your account, Ebay deducts their fee's, then deducts the sales tax the buyer paid.
It looks like you're paying but your not, you're only paying a small fee on it.
gone.c-33
·1 year agoWhen you make a sale to a buyer located in a state that charges sales tax, that buyer pays the tax amount to you, then eBay withholds it to remit it to the state.
Since as sellers we are charged on the total amount of the transaction, we pay a small portion of our FVF on the sales tax portion.