Sales Tax Included In Final Value Fees

[hpenryessentials]

There have been a lot of posts on confusion with the new percentages for MPs. Many seller's are doing the math a realizing that the MPs percentages are off. This is because final value fees include eBay collected taxes. There is also no place to go except to look at individual sales to see the amount of tax applied to that item. I know eBay is working on adding eBay collected taxes to transaction reports but that has yet to be seen at least for me. Has anyone else noticed their selling fees shoot up after MPs? 

[mcdougle4248]

Yes, my fees have gone up since first entering Managed Payments over a year ago.  I raised my prices to cover the increase.  

The transaction report has been recently updated and eBay collected tax is now included in the download.

The data is in column Z.

[rebell45]

They starting charging the FVF on sales tax last year, so all sellers saw an increase. Didn't have anything to do with Managed Payments. They just saw a way to get more $ out of their sellers.

[hpenryessentials]

So does that mean all seller's are paying a percentage of the eBay collected/buyer-paid sales tax on every item they sell as it's part of the FVF???

[go-bad-chicken]

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@hpenryessentials wrote:

So does that mean all seller's are paying a percentage of the eBay collected/buyer-paid sales tax on every item they sell as it's part of the FVF???

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Yes that is correct. eBay is now applying and charging sellers the category based FVF perventage to the sales tax that they (eBay) iare collecting from buyers.

[salvad88]

Look at your total sales report for the cycle (under performance tab) ebay states they include shipping seller charged, what item sold for, and taxes/fees ebay collects. That is false. It does the first 2 only. Then you will notice a separate section that states taxes and fees collected by ebay. those are the total taxes charged to buyers ebay collects. They conveniently put the total sale of an item as Shipping paid by buyer, price of the item buyer paid, and then sneak the sales tax in with those two!!!

THEN THEY DO THE FINAL VALUE FEE ON ALL OF THAT WHICH INCLUDES THE SALES TAX THEY ALREADY COLLECTED! This makes your fvf higher than it should be giving ebay more of your hard earned money! Looks like a lawsuit waiting to happen!

[kozmo_kramer]

This is the first I have heard of this one, is this even legal?  In our state, sales and use taxes do not include shipping so how can ebay charge a fee based on the shipping costs too?

Something smells but then hey it's fleecebay