EBAY CHARGES SELLING FEES ON SALES TAX 2022

[cargonam1951]

Selling fee should only be on the selling price as in 12.55% of item sold amount selling price + the $0.30 fixed order fee.

NOTE: eBay is charging the seller when items are sold, the EXTRA ON TOP selling fee of 12.55% on the tax amount they collect from the Buyer.

Thus, eBay is making 12.55 % on the tax they are collecting to thew seller.

Most sealers like me are selling items at a lost, just to get rid of items,

The Shipping sometimes cost more that what we seller are making on one item!

This is so Unfair in so many ways and SHOULD BE ILLEGAL on so many points.

[bonjourami]

Well this is something new..go figure.

[rfmtm]

Take this up with your state's revenue department.  Most state's are already giving ebay a percentage to collect the tax.  Note that a processing fee is normal (usually about 3%), but ebay is the first to charge their full final value fee.

[cargonam1951]

SORRY: CORRECTED SPELLING REPOST: 

Selling fee should only be on the selling price as in 12.55% of item sold amount selling price + the $0.30 fixed order fee.

NOTE: eBay is charging the seller when items are sold, the EXTRA ON TOP selling fee of 12.55% on the tax amount they collect from the Buyer.

Thus, eBay is making 12.55 % on the tax they are collecting to the seller.

Most sellers like me are selling items at a lost, just to get rid of items, so that others may have use for them!

The Shipping sometimes cost more that what we, the sellers, are making on one item!

This is so Unfair in so many ways, and MUST & SHOULD BE ILLEGAL on so many points.

Any comments? AM I wrong on this?  🤔

[mr_lincoln]

@cargonam1951 

On a $ 100 item that includes shipping and our state sales tax rate of 6% that would mean the 12.55% FVF on the sales tax would be just over 75 cents.  I doubt that is contributing to what you say you are selling for a loss just to get rid of the items.  If you drop items off at a Goodwill and report the deduction on your income tax you may make out better depending on how much you drop off.

Regards,

Mr. L

[bonjourami]

You may want to check the other ten thousand posts on this subject here.

[house*of*paws]

Hi @cargonam1951 

Be sure to include EVERY selling venue … as well as ALL credit card companies  … in your law suit, because it is customary for payment processors to charge fees on the total amount of buyer’s payment.  

Many sellers feel as you do, but it’s not likely that things will change.  🙁

[cargonam1951]

Thanks, I do that, but the actual cash is what I need, I understand about what you are saying but the point of my post AND what I'm SAYING, and the TOPIC here is:  

eBay is making 12.55 % on the tax they are collecting to the seller.

I guess you agree with that! And nothing to do about it! Nice on your part!

[cargonam1951]

I don't believe that is correct!! You can collect tax to submit to the IRS, but you don't MAKE MONEY ON TAXES!!! Companies and individuals make money on tax they collect!

SORRY.

[jrpcupgrades]

I always wondered about shipping cost . You enter the size of package and weights . You set it up for buyer pays shipping for location . The buyer pays than it's time to ship them the purchased Item . The shipping label provided with ebay discount still cost you extra to buy . Plus the delivery date was always wrong to choose the delivery method choose buy customer , it would always be one day late ? . I have even made handling a day instead of same day .   

[buyselljack2016]

I pay 12.9%

I agreed to it when I listed my item to sell.

Fees a re clearly stated.

I have no grounds for a law suit.

[cargonam1951]

Processing fee is the bank transaction and credit cards fee they charge the end user/buyer, nothing to do with the IRS TAX collected!

Taxa are collected and sent to IRS, DONE!

One or a company  should not be able to charge a fee to collect tax on top of the tax you collect, especially you are already making 13%  plus .30 on each sale from the seller!!

It seems you are OK with that, bless your heart! 😞

[cargonam1951]

Great for you, YOU, don't understand the post!!

[buyselljack2016]

IRS ?   You don't understand sales tax

[lepke1979]

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@rfmtm wrote:

Take this up with your state's revenue department.  Most state's are already giving ebay a percentage to collect the tax.  Note that a processing fee is normal (usually about 3%), but ebay is the first to charge their full final value fee.

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Pretty sure Facebook did it before eBay. But most probably don't notice or care because it's currently 5%.

Good luck with your class action. Unless you also enjoy standing in the shower lighting $100 bills on fire. Don't pay the lawyer up front.