Charging Sales Tax

[experiencedmerchandise]

so I read all the notes from others about my post that eBay is now charging my buyers Sales Tax.   Oregon DOES NOT charge Sales Tax so why should my buyers have to pay it??  And what do I do with the money once they pay it?  Seems like I don't get it anyway because PayPal charges to receive any money my buyers send.  Totally confusing to say the least!

[soh.maryl · Accepted solution]

Due to a fairly recent Supreme Court ruling, eBay is now required, by law, to charge state sales tax for 39 states (with more certainly to follow).  All marketplace facilitators, like Amazon, will be doing this same thing.

As a seller, you do not have to do anything different than you have always done.  eBay charges the buyer the appropriate state sales tax.  The tax is based on the sales tax rate on the state where the BUYER is having his package shipped, not on the seller's address.  It is charged on used as well as used items.

eBay charges the buyer, the money goes briefly to Paypal, and then is retrieved by eBay and remitted to the appropriate state.  The fact that you are in Oregon and Oregon has no state sales tax has no play in this.  The tax is charged based on the buyer's delivery address.

As mentioned above, there is no reason to change the way you do things because eBay handles this.  You should, however, understand how and why this works because it will be a surprise for many buyers as evidently it was to you.