sales taxes on coins in Texas

[rmdroopy]

Can anyone tell me why eBay started to add sales tax on purchases of coins when the buyer's address is in Texas?  Until recently this was tax-free.  When I called eBay customer service there was nobody capable to answer this question.  I was refused to talk to their tax department. 

Texas Administrative Code: Title 34, Part 1, Chapter 3, Subchapter O, Rule Par 3.336(b) states as follows:

Taxability of sales of gold, silver, or numismatic coins, and gold, silver, or platinum bullion. Effective October 1, 2013, the sale of gold, silver, or numismatic coins or of gold, silver, or platinum bullion is exempted from Texas sales and use tax.

Richard

[rock.star]

The issue may come up if it is not a numismatic coin.

[house*of*paws]

Hi @rmdroopy 

I don't know if it applies to Texas ... but some states tax monies only when they are sold for more than their face value.

[gosimus]

@rmdroopy 

< the buyer's address is in Texas >    

I've found that JM Bullion is the best source, and that's where I buy mine.  They're headquartered in Dallas, a mere jaunt up I-35 from you, but I don't know if they have a B&M store that you can just walk in.  

[rmdroopy]

This is not what I have asked about.  The question is:

Why eBay started suddenly adding sales tax to coin purchases which is against Texas tax code?

Texas Administrative Code: Title 34, Part 1, Chapter 3, Subchapter O, Rule Par 3.336(b) states as follows:

Taxability of sales of gold, silver, or numismatic coins, and gold, silver, or platinum bullion. Effective October 1, 2013, the sale of gold, silver, or numismatic coins or of gold, silver, or platinum bullion is exempted from Texas sales and use tax.

[rmdroopy]

I have recently bought three coins, all numismatic, and was charged sales tax.  It has never happened before until two weeks ago.  I have opened this thread because cannot get answer from eBay.  Contacted them four times and got four contradicting and completely inaccurate answer.  Their customer service has no clue how their own platform operates and I do not know how to reach somebody there who could give me the right answer.

[rmdroopy]

This does not make any sense - numismatics are ALWAYS sold for more and Texas law states explicitly that there is no sales tax on numismatics.

[rmdroopy]

It is a fraud to collect sales taxes at higher rate than specified by states/county law.  Texas law specifies 0(zero)% on coins, bullion, and numismatics (which includes paper money too).  Why eBay adds 6.25% ?

[rock.star]

EBay has many people working on what is taxable and what is not . I don't know Texas tax law but rest assured that eBay does. There is something you are missing .

Many time this come about because the is listed in the wrong category. 

[rmdroopy]

First, why I cannot receive any answer what has suddenly happened from eBay?  If they have so many (knowledgeable) people there, at least one could answer this simple question.

Second,  I am buying on eBay coins from this one seller in California in the last six years and never payed any sales tax until two weeks ago.  The law in Texas has not changed - it is the same since 2013.  The seller sells only numismatics so the category is always the same.

So I am not assured that eBay knows what it's doing,  why they do no share their infinite wisdom with me?  I called four times asking to talk to their tax "experts" to no effect.  They do not let me talk to anyone outside from the customer service who are working from home (with babies crying in the background) and have no clue about my issue,  however always are ready to give me absolutely ridiculous advice which is ALWAYS wrong.

[gosimus]

@rmdroopy 

< This is not what I have asked about >    

Sorry about that.  Sometimes I look at things from a different angle and answer questions that weren't asked, but might have been asked if we were in another incarnation.  Suggesting alternatives.  Most users don't scold me for it.  I may have picked up the habit from eBay's Automatic Search Expansion feature, or vice versa. 

There aren't a lot of "Why does eBay..." type questions I can answer, because corporate doesn't take me into their confidence and I'm reluctant to try to second-guess them.  

I do wish you luck, and be careful buying precious metal on eBay.  Don't buy from China. 

[house*of*paws]

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@rmdroopy wrote:

This does not make any sense - numismatics are ALWAYS sold for more and Texas law states explicitly that there is no sales tax on numismatics.

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@rmdroopy 

It may not make any sense … but FL makes that distinction.