SALES TAX

[medalhut]

Ebay says that they are collecting the Sales Tax and remitting it to the proper tax authority.  I went by the Texas  State Comptroler  Office this morning.  They say that they did not know anything about eBay collecting the sales tax and no tax from Ebay has  been remitted to them!

When will ebay remit the tax?  The deadline for paying in Texas is 20 January.

[myboardid]

mediahut - the rules & regs for marketplace facilitators are entirely different from the rules and procedures for smaller merchants.  Filing dates are different, account names are different, it is not handled by some small clerk.   eBay has an accounting firm who handles all of this for them. 

There is NOTHING for you to worry about.  The only things you need to find out about are any new rules for small merchants like you.  In a few states there is a requirement that you send them the numbers that the marketplace facilitator has collected for your buyers.  In MOST STATES that is not required.  Check with the state to see how the marketplace facilitator law is written.  But you are NOT RESPONSIBLE for the collection of those taxes after Sept 30th, 11:59 999/1000ths PM. 

[fern*wood]

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@myboardid wrote:

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@fern*wood wrote:

Someone has the money since my buyers are paying it and I'm not getting it -- other than for a few seconds so it can be added to my gross income.

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No, it is NOT added to your gross income.  It passes through your Paypal account.  The 1099 form that Paypal sends out does NOT reflect your income at all, it only reflects the money that is deposited in your account.  Those are NOT the same thing. 

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I understand I used incorrect terminology when I said income, but my point was that money will appear on my 1099 form sent to the IRS.  I understand it passes through, but that doesn't change the fact that it needs to be accounted for on my taxes as money credited to me in which I did not pocket.