EBAY OVERCHARGES FEES ON SALES TAX

[yenmai88]

Hello,

I have sold one item:

selling price: $19.98

Shipping charge: $12.98

Subtotal: $209.96

+ Sales taxes on buyer: $18.5

= Grand Total $228.46

I dont know why EBAY takes away $28.97 fee???

It should be only 12.55% on $196.98 selling price + $0.30 fixed order fee = $25.02

However, Ebay takes 12.55% on grand total $228.46 + $0.30 fixed order fee = $28.97???

Why do Ebay takes fee 12.55% on even $18.5 sales taxes that they buyer pay?

Why do I have to pay extra 12.55% on $18.5 sales taxes = $2.32 on the sales taxes?

This is so unreasonable and illegal that Ebay takes fees on the sales taxes of the transaction. This is overcharge to the sellers. I'm feeling very angry on this fee that Ebay takes from my transaction. 

[rock.star]

The 12.55%  is charged on the entire amount the buyer pays. 

[donsdetour]

what was the selling price and the shipping price???

[soh.maryl]

Selling price: $19.98.

Shipping: $12.98

[luckythewinner]

It should be only 12.55% on $196.98 selling price + $0.30 fixed order fee = $25.02

You are misinformed. Please read the terms of service for Managed Payments.

Why do I have to pay extra 12.55% on $18.5 sales taxes = $2.32 on the sales taxes?

Because that is how eBay decided to charge fees under Managed Payments

This is so unreasonable and illegal that Ebay takes fees on the sales taxes of the transaction.

It is not illegal. Whether you find it unreasonable is an opinion.

I'm feeling very angry on this fee that Ebay takes from my transaction.

That is your prerogative.

[krazzykats]

The OP resides in a State that has no sales tax.

Its unfair to anyone residing in the 5 no sales tax states to pay, "eBay fees" on the "sales tax" portion.

[luckythewinner]

---

@krazzykats wrote:

The OP resides in a State that has no sales tax.

Its unfair to anyone residing in the 5 no sales tax states to pay, "eBay fees" on the "sales tax" portion.

---

I am in New Hampshire, where there is no sales.

I would be THRILLED if eBay gave me a lower fee structure that all the sellers in the 45 states with a sales tax.

But to me, that actually sounds a little unfair.

[fern*wood]

It is charged based on the sales tax of the buyer---not the seller.  If the OP is in a state with no sales tax and their buyer lives in their state, then no sales tax or sales tax fee.

[dhbookds]

Ebay collects the tax based on the shipping destination....so even tho a seller resides in a sales tax free state, they still "get" sales tax paid to them....which ebay collects and distributes to the buyer's state.

Ebay "charges" a % on the total transaction, as all processors do, to handle and distribute the money.  Otherwise each seller would have to figure and distribute tax from each sale to whatever state it should go to.....

[bonjourami]

Why? Doesnt matter what state the seller resides in,and whether that state charges sales tax. All that matters is what state that item is being delivered to, and if that state charges sales tax.

[releasethekraken_1]

---

@krazzykats wrote:

The OP resides in a State that has no sales tax.

Its unfair to anyone residing in the 5 no sales tax states to pay, "eBay fees" on the "sales tax" portion.

---

Please. Try to keep up with the actual law. Sales tax is based on where the item is shipped to, not where it comes from, because the sales tax is charged to the buyer, not the seller.

How do you not know this?

[mam98031]

@yenmai88 

Have you had the opportunity to read the policy paged for Seller Fees for Non Store owners?  Here is a link just in case you'd like to look at the actual policy.

https://www.ebay.com/help/selling/fees-credits-invoices/selling-fees?id=4822

Keep in mind that when there is no sales tax on a sale, we save money on the fees.  While most sales are taxable, some aren't and in a months time it is likely that you will at least have some without sales tax, so overall in a month you will likely see a very neutral impact to your monthly fees.

[yenmai88]

Selling price is $196.98, missing one number.

[yenmai88]

No, other selling site like Poshmark they only charge % fees on the selling price, not on the sales tax. This is stupid.

[yenmai88]

selling price: $196.98

Shipping charge: $12.98

Subtotal: $209.96

+ Sales taxes on buyer: $18.5

= Grand Total $228.46

I dont know why EBAY takes away $28.97 fee???

Ebay should have only take 12.55% fee on (Selling Price + Shipping charge), not 12.55% fee on * (Selling Price + shipping charge + SALES TAXES)

-> 12.55% on SALES taxes is unreasonable fee, they are stealing money from all sellers on Ebay.

Poshmark only takes % fee on Selling Price.