eBay

garbagegrrl*z · ‎07-11-2022

I just looked at my payout final value fees and noticed that I am charged for the the cost of entire sale including shipping and taxes <- none of which I receive so WHY am I charged?

"The total amount of the sale includes the item price, any handling charges, the shipping service the buyer selects, sales tax, and any other applicable fees."

Fees based on

$41.72

Item price
$29.99
Shipping and handling
$9.00
Sales tax
$2.73
Fees based on
$41.72
Payout amount $23.74

lamber9347 · ‎07-11-2022

@garbagegrrl*z wrote:
Interesting that SO many people are asking. Curious why so many people, including me, are unaware of this?
I haven't sold much on ebay in the last couple years, just started up again.

Because people who used to sell simply 'presume' nothing has changed over the years. They don't stop to consider policies changing or laws regarding reporting minimums changing. Selling online using another platform is not like riding a bicycle, there are updates and ongoing changes seemingly quarterly....

garbagegrrl*z · ‎07-11-2022

Does that mean that 1099 taxes this year will be based on total sale or payout amounts? Thank you

pburn · ‎07-11-2022

@garbagegrrl*z wrote:
Does that mean that 1099 taxes this year will be based on total sale or payout amounts? Thank you

Even thought you've already chosen the very best post as the solution to your thread--although I'm not sure exactly what it solved--here are additional pages you might want to take the time to read. Hopefully, they will answer your questions.

eBay and Form 1099-K

2022 changes to eBay and your 1099-K

The answers to these kinds of questions are quite often available on this site by using the Seller Center or the Announcements board or any number of help pages available via the search function or using Google, etc.

Good luck to you!

evehicles · ‎07-19-2022

As many respondents have pointed out, eBay clearly states that shipping and tax are included in their final value fee calculation. Others have said it's legal for eBay to do whatever they want. Others said it's eBay's policy. All "Captain Obvious" statements that miss the seller's point - is it RIGHT (i.e., ethical) for eBay to charge sellers a fee for taxes they collect on behalf of the states? A more justifiable case can be made for including shipping fees in the FVF calculation - otherwise, sellers could low-ball the "buy it now" price and make up for that by charging outrageous shipping fees to lower their final value fee. But eBay, not the seller, determines how much to charge for tax and the seller never sees any of it. Even if it's usually not a large amount, it's part of the nickle and dime strategy of squeezing more out of the sellers. I'm amazed at how many posts act like this seller is just whining or take a cynical attitude about the complaint. I support this seller - I don't think counting sales tax in the FVF is right.

pargran3 · ‎07-19-2022

Unaware because you did not bother to read about the fees before you posted items for sale. It really is that simple and you have a lot of company evidently. It certainly does not mean that eBay was trying to pull the wool over your eyes. The fees are not a big secret.

pargran3 · ‎07-19-2022

The 1099 would include the total of the sale. The deductions would be your responsibility to document on the Schedule whatever it is just exactly like it has always been for declaring every dime of income on your taxes.

pargran3 · ‎07-19-2022

And I do know what I am about to say has nothing to do with what you asked but you are playing with fire with your listing of an eBay banned children's book. I do not happen to agree with that nonsense, but you are risking your account here and you might want to consider selling it elsewhere.

I certainly would not report it, but posting on the community boards does lead people to view your listings. Just do not try to run an end run around the rules. Please.

dabrighpublishing · ‎07-19-2022

This is also nothing right

mandisattictoyz · ‎07-19-2022

Congratulations, your the 10,000 member in the last 2 weeks to complain about something they’ve advertised doing since 2018! Ding ding ding your a winner, your prize: paying more fees to eBay! Yay!!!!

msinfobooks · ‎08-14-2022

A lot of folks say hey, this is no big deal - everybody does it. Well, Paypal charged a processing fee which was less than 4%. Ebay charges their final value fee on all funds received which means that you as a seller are paying substantially more than you may expect so you need to do some math before deciding to sell here. I just had two jewelry sales and the ebay fee (once you added in their fee for processing the shipping and sales tax) worked out to 16.7% of one sale and 15.25% of the other. Of course you won't know what state a potential buyer lives in so the amount of sales tax can vary widely. Ebay has already announced they will be charging a higher fee in the jewelry category.

If you want to sell on ebay don't be fooled by the percentage they quote as a fvf for selling - your costs will be higher so take that into account when deciding whether it is worth it or not.

albertabrightalberta · ‎08-14-2022

@garbagegrrl*z wrote:
Interesting that SO many people are asking. Curious why so many people, including me, are unaware of this?
I haven't sold much on ebay in the last couple years, just started up again.

The reason is because most people don't read policy updates when they receive them. Updates are sent for a reason and ignorance of them isn't an excuse.

albertabrightalberta | Volunteer Community Mentor
"I can explain it to you, but I can't understand it for you."

monroe67 · ‎08-14-2022

"Ebay charges their final value fee on all funds received which means that you as a seller are paying substantially more than you may expect so you need to do some math before deciding to sell here. . . . .

If you want to sell on ebay don't be fooled by the percentage they quote as a fvf for selling - your costs will be higher so take that into account when deciding whether it is worth it or not."

Parts of this problem are literacy and mathematics and comprehension. And acceptance that the rules DO apply to them. Even if somebody in, say, South Florida might try to sell something on eBay, eBay's rules do apply that potential seller. People can search for sellers within certain zip codes . . . . . .

The Final Value Fee on most items is 12.9% of The Final Value.
The Final Value is the amount that the buyer pays to eBay.
The Final Value includes the price of the item PLUS sales tax PLUS postage or other shipping charges.
(Plus 30 cents.)

The two examples you gave in which eBay's fees came to 16.7% on one sale and 15.25% on another -- those seem reasonably close to my selling ID's experience. And you are correct that the percentage (of the item's price) varies widely from sale to sale, because of variations in tax percentages and postage amounts based on distance. I have started to estimate my payouts by estimating that eBay's fees will run closer to 20% of the item price.

Now, if only people would start buying again . . . . . . . .

brycemonroecolwell · ‎09-22-2022

i havent sold anything on Ebay in a few months. i just sold something for 30 and lost 6 dollars of it to ebay. i used to love Ebay, but ownership changed a couple years ago and its been downhill. this is the nail in the coffin, ive never paid any kind of "fee" to eBay in 15 years, now they are taking 15%? nope. back to craiglist, a flat fee to sell and facebook is still FREE. so **bleep** YOU ebay

brycemonroecolwell · ‎09-22-2022

for real, these douchebags all up on here like its OK just because SleezeBay writes it somewhere? idk what i missed but i never had to pay ebay anything to sell stuff here and there and i just sold my first thing in awhile for 35 and i got 29. facebook is FREE and craiglist charges to list. im done with ebay, douchebags. whatever happed a couple years ago, someone bought them, got rid of the customer service # and its been down hill ever since.