Taxes

[wwwoody]

Why does ebay charge me more tax than my state does?

[wooden_flower]

Are you including the shipping when you apply your tax %?  More state than not consider shipping taxable.

[disneyshopper]

The sales tax rate is based on where the buyer wants the item shipped to.

[woodland_gnome]

Are you taking into account any local taxes in your zipcode (if there is more than one tax rate in the 5 digit zipcode be sure to use the full 9 digit zipcode in the shipping address to get the proper rate otherwise eBay will assume the rate at the post office's location)?   Does your state include s/h in at least some situations (which situation is very likely to be the situation in most ebay.com transactions) in calculating the price to calculate the tax?

[wwwoody]

Yes, shipping included, or a free ship. I don't know if Illinois taxes shipping or not, probably.

[wooden_flower]

Shipping is taxable in IL, unless the seller offers local pickup.

[wwwoody]

Complete 9 digit zip code is registered with ebay and on the shipping instructions.

[wwwoody]

Yes my sales tax in my area is 6.25%. If I lived in the nearby city it would be 1% higher. A complete 9 digit zip code is registered with ebay and on the shipping instructions.  Yes, shipping and handling fees are included, or a free ship. I don't know if Illinois taxes shipping or not, probably.

[wwwoody]

Is the extra charge on taxes a way for ebay to charge to collect the taxes? 

[house*of*paws]

Hi @wwwoody 

eBay only charges what it’s told to charge … with nothing extra for itself.  

The state tax includes county and city charges when applicable.

[wooden_flower]

---

@wwwoody wrote:

Is the extra charge on taxes a way for ebay to charge to collect the taxes? 

---

No. Anything $ collected as tax is sent to the state.  It is possible that the rate in the table supplied by the IL DOR is wrong, although this is rare.

If you go to the DOR website, you can submit a question, or call and ask for a call back.  So you can ask an expert 🙂

https://www2.illinois.gov/rev/Pages/default.aspx