The policy may help you to better wrap your head around this. Keep in mind that Sales Tax is a tax owed ONLY by the Buyer for whatever state they have the item DELIVERED to. Your state does not matter.
eBay is a "marketplace facilitator," and is required to collect sales tax for all states with a sales tax. If you were to sell through your own website, you would only be required to collect sales tax for shipments within your state, assuming your state has a sales tax.
Assuming you're asking as a seller: Yes, the determination of whether or not state sales tax should be collected is based on the delivery address of the buyer, not the seller.
Those funds are collected from the buyer when he pays for his purchase per eBay and eBay then sends that money on to the state treasury of the affected state.
There are 46 or so states that have a state sales tax, and Nevada is one of them.
Here's some info from the website of the State of Nevada's Department of Taxation:
Note the second bullet point explaining when Consumer Use Tax is applied: "purchases made on the internet" includes purchases made on eBay.
That explains why you, as a consumer living in the state of Nevada, are required to pay a Consumer Use Tax (similar to Sales Tax) on your eBay purchases.
It is a federal law which requires Ebay to collect sales tax in order for you to purchase something to be shipped to your state. This have been in place for awhile now. The state of Nevada as well as pretty much everywhere else requires you to pay a sales tax to buy something online and ship to your place. As a seller collecting sales tax is on Ebay's end not the sellers end. Ebay then takes care of the state on purchases made.
@jaci69 Sales tax is collected for the State that the item is sold to, if that state a.) makes ebay do so b.) collect sales tax (all but 5 do).....per the United Stated Supreme Court Ruling (back in 2018?) "Marketplaces" can be forced by states to collect sales tax on most All items sold and remit them to that particular state. From around 2019 to 2022, all states have since required ebay to do such (same as Amazon, Walmart etc.)
ahhh..yes, how I miss the days of no sales tax to collect but too many people weren't paying use tax. Personally, it makes me ecstatic that Ebay handles this mess
Yep.. I am back here after a hiatus. I started in 2002 but alas I am a river refugee. That was when there were still auctions over there, and you could only sell books. Yes.. good days. Everything is so uptight and expensive now.
mam98031
·1 year ago@jaci69
The policy may help you to better wrap your head around this. Keep in mind that Sales Tax is a tax owed ONLY by the Buyer for whatever state they have the item DELIVERED to. Your state does not matter.
https://www.ebay.com/help/buying/paying-items/paying-tax-ebay-purchases.html?id=4771
funfactorychannel
·1 year agoeasy answer,
no politician will vote no for more money into their coffers. 😄
Unless we have idealist. those are rare.
soh.maryl
·1 year agoRespectfully, how is that the answer to the OP's inquiry about state sales tax?
powell-collectibles
·1 year agoThis is one where you have to connect the dots. Just a little brain game for the morning.
soh.maryl
·1 year agoEvidently not a brain game I'm able to play, regardless of the time of day.
hartungcards
·1 year agoYou lost me at, "I am not understanding why ebay collects sales tax."
tools*
·1 year agoeBay is a "marketplace facilitator," and is required to collect sales tax for all states with a sales tax. If you were to sell through your own website, you would only be required to collect sales tax for shipments within your state, assuming your state has a sales tax.
inhawaii
·1 year agoMaybe because it's required by law?
That might have something to do with it?
chapeau-noir
·1 year agoTax on eBay purchases
soh.maryl
·1 year agoAssuming you're asking as a seller: Yes, the determination of whether or not state sales tax should be collected is based on the delivery address of the buyer, not the seller.
Those funds are collected from the buyer when he pays for his purchase per eBay and eBay then sends that money on to the state treasury of the affected state.
There are 46 or so states that have a state sales tax, and Nevada is one of them.
monroe67
·1 year agoHere's some info from the website of the State of Nevada's Department of Taxation:
Note the second bullet point explaining when Consumer Use Tax is applied:
"purchases made on the internet" includes purchases made on eBay.
That explains why you, as a consumer living in the state of Nevada, are required to pay a Consumer Use Tax (similar to Sales Tax) on your eBay purchases.
bonanza125
·1 year agoIt is a federal law which requires Ebay to collect sales tax in order for you to purchase something to be shipped to your state. This have been in place for awhile now. The state of Nevada as well as pretty much everywhere else requires you to pay a sales tax to buy something online and ship to your place. As a seller collecting sales tax is on Ebay's end not the sellers end. Ebay then takes care of the state on purchases made.
stainlessenginecovers
·1 year ago@jaci69 Sales tax is collected for the State that the item is sold to, if that state a.) makes ebay do so b.) collect sales tax (all but 5 do).....per the United Stated Supreme Court Ruling (back in 2018?) "Marketplaces" can be forced by states to collect sales tax on most All items sold and remit them to that particular state. From around 2019 to 2022, all states have since required ebay to do such (same as Amazon, Walmart etc.)
spendingcents26150
·1 year agoahhh..yes, how I miss the days of no sales tax to collect but too many people weren't paying use tax. Personally, it makes me ecstatic that Ebay handles this mess
jaci69
OP1 year agoI miss all of the old days..mainly shipping costs...been selling here and online since 1997
spendingcents26150
·1 year agoYep.. I am back here after a hiatus. I started in 2002 but alas I am a river refugee. That was when there were still auctions over there, and you could only sell books. Yes.. good days. Everything is so uptight and expensive now.