CHARGING TAX ON ALREADY TAXED ITEMS

[janvarujan]

DO I CHARGE SALES TAX WHEN SELLING A ITEM THAT I ALREADY PAID TAX FOR WHEN PURCHASED? HOW CAN I BE EXEMPT FROM THIS? DOES ANYONE KNOW PLEASE HELP, THANKS.

[mrconran]

Hello I cannot respond about your state but I am in NY. Here it is a sale tax. In other words the State is taxing the "sale". Kind of a transaction tax.  That is why used items are taxed.

You should check with your State tax dept. Here in NY there are some exemptions but I doubt ebay would follow them anyway.

[tamaralea]

You don't have to worry about collecting taxes, as eBay will do it for you.  Used items used to be exempt, but I don't think they are anymore.  States are greedy.

[the*dog*ate*my*tablecloth]

If you buy your stock on eBay I know there is a process for filing your resale certificate with them so you’re not charged when you purchase.

it has to be a resale cert though, a selling license  apparently doesn’t work.

[the*dog*ate*my*tablecloth]

I don’t ever remember used items being exempt from sales tax? As far as I know my state has always charged sales tax on used cars for instance.

[myangelandmyprincess]

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@the*dog*ate*my*tablecloth wrote:

I don’t ever remember used items being exempt from sales tax? As far as I know my state has always charged sales tax on used cars for instance.

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Not for my state either I frequent a lot of thrift stores and resale shops.  I've always paid sales tax 

[penguins_dont_fly]

Sales Tax is a tax on the transaction, not the item.

The time to claim sales tax exemption is when you BUY an Item with intent to resell it.

If you have a resale certificate from your state, you can be exempted from paying sales tax on items purchased for resale (and other things like packing materials, in most States).

If you are purchasing these items on eBay, you can submit your Resale Certificate to eBay.

https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121 

https://www.ebay.com/help/buying/paying-items/paying-tax-ebay-purchases?id=4771 

[ten_o_nine]

You have to apply for tax exemption within your state, this will allow you to buy items for the purpose of resale without paying sales tax.