Final Fees Increase

[reb177]

If you read the Winter Seller Update newsletter, you hopefully noticed that eBay is raising most Final Fees from 12.9% to 13.25%.  That plus the addition of State Sales Tax is ballooning the cost of selling on eBay by upwards of 20%.  Sorry, but they are driving me away--it's too expensive!

[vintagecraze50]

I buy a lot of my inventory and have it shipped. As a buyer of merchandise my costs have gone up considerably just from increases in postal rates and sales tax. That has to be translated into higher costs for the consumer as well. You run a business based on the current state of the economy. Ebay does the same.

[vintagecraze50]

No kidding.

[vintagecraze50]

Right. I am considering trading in my new F150 truck for a compact SUV. When I buy food I sometimes go to several stores and love discount food stores. I travel very little due to gas prices. God forbid I throw out that last scrap of food. It all gets stored as leftovers. 

[slippinjimmy]

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@mam98031 wrote:

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@soh.maryl wrote:

Who is "they" and where have you heard this information?

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That is something that a few people in Congress are floating around.  Unlikely that anything even close to that would ever pass.  But having a Federal Sales tax instead of a State sales tax is not necessarily a bad idea.  It just needs to be a reasonable percentage and the structure needs to take care of the states appropriately.

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You forgot the most necessary part of any Value Added Tax, there has to be a reasonable and equitable refund of VAT for low income people. A person making $25,000/year probably spends 100% of their income on taxable goods (other than exempt items similar to existing Sales Tax) while a person making $250,000/year might only use 50% of their income on taxable goods while the rest goes to savings/investment, foreign travel etc.

That person with a 25K income is probably currently paying little if any Income Tax so getting hit with 30% would put them well into the poverty level.

One thing about a Value Added Tax replacing or in addition to Income Tax, it is VERY business friendly especially for start ups or growth companies that make very low (if at all) profits. All the VAT that those business incur is FULLY refundable with the entire load being piled on the final consumer.

[dirtcrasher]

Every time I use Facebook Marketplace, I get crazy response of people wanting to pay me more than my asking price and that their shipper will be contacting me. The scams there are even worse than on Ebay.

[dirtcrasher]

When I look up the minimum amount I can make before reporting to the IRS I find this:

"In 2022, for example, the minimum for single filing status if under age 65 is $12,950. If your income is below that threshold, you generally do not need to file a federal tax return."

Is that not correct if that's a persons only income??

[dirtcrasher]

One thing that's obvious but no one has stated; How many thousands of sold auctions are completed at every fraction of a second all day long every day of the year?? If Ebay is taking even 10% of sales, is that number not extraordinary?? Seems to me they must be doing very very well, unless they mismanage the company and or give bonuses to the higher ups...

I think it's possible that many sellers haven't examined how much the actually profit, the bottom line, after all is said and done, and that most would realize they are making nearly nothing on the majority of their items. If they paid a bit more attention I don't think they would bother trying to make an extra buck on Ebay as it's often not worth their time IMHO...

[traditonalproducts]

Ditto 741Ricki... Too many threads on this as we all have to adapt or make a decision.

[mam98031]

I wasn't addressing international sales and I think my post was easy to follow as being for the US.  I talked about STATE taxes and/or Federal taxes.

[mam98031]

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@dirtcrasher wrote:

When I look up the minimum amount I can make before reporting to the IRS I find this:

"In 2022, for example, the minimum for single filing status if under age 65 is $12,950. If your income is below that threshold, you generally do not need to file a federal tax return."

Is that not correct if that's a persons only income??

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None of us on this thread ever even brought up anything regarding those that draw Social Security and what their maximum threshold is .

And NO Social Security doesn't and isn't the only income some seniors have.  There are plenty of seniors that were able to plan for their retirement by investing in 401K, IRAs or ROTHs before they started drawing Social Security.  Or they have retirement benefits from the job they work before retiring.

And for someone 65 and drawing Social Security their MAXIMUM income they can earn before money is started to be reduced from their SS benefits is $21,240.  

[mam98031]

@dirtcrasher 

It doesn't matter how much Ebay earns.  They are after all a for profit corporation.  It is just what they all do.  But if this is something that interests you, simply Google their financial statements for whatever period of time you want to see.  Ebay publicly releases them every quarter.