06-21-2018 07:37 AM
How will this pertain to ebay?
Do sellers have to look up all 50 state tax rates?
Will this cause sellers to leave ebay?
06-22-2018 04:46 AM
@oldwestgold wrote:eBay will force the sellers to cover the sales tax free for buyers just as they do for shipping charges no doubt.
...only if you want to have that TRS+ badge.
06-22-2018 04:46 AM
This should'nt be a shocker to anyone. This has been in the works for years. It will be good for the State, & it will leveling the playing field for B&M. They should of been collecting taxes long ago. eBay is gonna need to lower it's FVF about 7% for you to survive these changes.
06-22-2018 04:59 AM
& the lobbiers are laughing all the way to the bank...
06-22-2018 05:05 AM
@grayirongolf wrote:This should'nt be a shocker to anyone. This has been in the works for years. It will be good for the State, & it will leveling the playing field for B&M. They should of been collecting taxes long ago. eBay is gonna need to lower it's FVF about 7% for you to survive these changes.
It doesn't seem level since online sellers have to work the shipping costs into their pricing and B & Ms don't have that burden.
06-22-2018 05:38 AM
@fern*wood wrote:
@grayirongolf wrote:This should'nt be a shocker to anyone. This has been in the works for years. It will be good for the State, & it will leveling the playing field for B&M. They should of been collecting taxes long ago. eBay is gonna need to lower it's FVF about 7% for you to survive these changes.
It doesn't seem level since online sellers have to work the shipping costs into their pricing and B & Ms don't have that burden.
Not all sellers. My buyers pay for shipping. However, since I am a Garage Sale kind of seller, all used stuff, I don't know if a sales tax applies to me. I don't know the tax laws in every state.
I don't have "product", I have "stuff". I don't buy things to sell, I get rid of things.
Are we going to pay a fee on sales taxes? Is PayPal going to get more because we collect sales tax?
Can you say complicated? I think you can.
06-22-2018 05:45 AM
@etvideo1ataol wrote:
@fern*wood wrote:
@grayirongolf wrote:This should'nt be a shocker to anyone. This has been in the works for years. It will be good for the State, & it will leveling the playing field for B&M. They should of been collecting taxes long ago. eBay is gonna need to lower it's FVF about 7% for you to survive these changes.
It doesn't seem level since online sellers have to work the shipping costs into their pricing and B & Ms don't have that burden.
Not all sellers. My buyers pay for shipping. However, since I am a Garage Sale kind of seller, all used stuff, I don't know if a sales tax applies to me. I don't know the tax laws in every state.
I don't have "product", I have "stuff". I don't buy things to sell, I get rid of things.
Are we going to pay a fee on sales taxes? Is PayPal going to get more because we collect sales tax?
Can you say complicated? I think you can.
My buyers pay the shipping too, but what I meant by my post was we still have to work the shipping costs into our pricing as far as what a buyer is willing to pay.
For instance, a large light weight item can easily sell for "x" at a b & m since the buyer transports it to their home. The buyer can't get that same item from me for the same price because of the shipping costs. Now add taxes on top of that and the "levelness" gets worse.
06-22-2018 06:15 AM
@grayirongolf wrote:This should'nt be a shocker to anyone. This has been in the works for years. It will be good for the State, & it will leveling the playing field for B&M. They should of been collecting taxes long ago. eBay is gonna need to lower it's FVF about 7% for you to survive these changes.
Don't hold your breath waiting on that FVF reduction.
06-22-2018 09:04 AM
Perhaps the "Supremo's" should not be appointed for life to this lofty austere body.
Many have been there for years (decades) and are of the opinion that their rulings are God-like and absolute. They lost touch with the average American family and small business owners long ago. They do not live our lives, have no idea what it takes to simply survive let alone thrive. They are so far removed - and in their minds - so far above us, that the reality of mom and pop online businesses is foreign to them.
There should be no lifetime appointments for any judge. Who decides when these lifers are unfit to continue?
One can only hope the "Supremo's" ruling was intended to force Congress to address a national sales tax law by creating chaos and panic among small businesses.
06-22-2018 09:04 AM
@oldwestgold wrote:eBay will force the sellers to cover the sales tax free for buyers just as they do for shipping charges no doubt.
06-22-2018 10:15 AM
POTUS weighed in on twitter
Big Supreme Court win on internet sales tax - about time! Big victory for fairness and for our country. Great victory for consumers and retailers.
06-22-2018 10:23 AM
It is is 10K the bad thing is that eBay counts the COST of shipping as part of the sale price. They need to get that separated out (they can do it and still charge us a final value fee, but as the shipping is almost as much as sales for most of us seller, it is going to make a big difference!
I was audited for my eBay sales one year when my PayPal hit just over $20K. I pay taxes and they got $20 more out of me and wasted almost 6 months. I said I WISH I had made $20K but there are pesky things like that payment included shipping, and then we have costs like tape, ink, paper, etc. and the items are not all profit either. My agent could not believe he had to deal with this! haha!
06-22-2018 11:09 AM
But did they rule its legal for me to start collecting state sales taxes and putting them in my paypal? No.
06-22-2018 01:23 PM
@fern*wood wrote:
@oldwestgold wrote:eBay will force the sellers to cover the sales tax free for buyers just as they do for shipping charges no doubt.
...only if you want to have that TRS+ badge.
Oh, there ya go! "Free Taxes"! It's "industry standard". They are probably already programming the search sort for it as we speak...
06-22-2018 01:35 PM
I got this from where I live online and catalog sales made to people in their state. Sellers that make $1 million or less in annual sales and have no physical presence in the state would be exempt from this requirement. States would have to meet certain criteria to simplify their sales tax laws and make sales tax collection easier before they could require sellers to collect the tax.
06-22-2018 02:23 PM
Would like to add that some states also tax the cost of shipping, since it is part of the price paid for the item (the selling price). Other states do not, since it is a service, not a product.
Some states tax items on how they are used- Tape used for shipping products is not taxed, if used to seal items, then it is taxed, So you not only have to know what the item is, but how your customer intends to use it.
There is no common definition of an item between states- What is candy? It has to be sold in a bar form and contain chocolate, no wait, it does not have to have chocolate but can not contain flour as the top three ingredients, no wait, Kit Kats are not candy ? What is pop? Flavored water is considered a soft drink, no wait, it has to be carbonated, no wait, it has to have artifical sweetner.
One state does not tax food, but ice cream and candy are not considered food.
States tax different items at different rates, how do you know where your item fits. Is it food 2% tax or non-food 5%- you don't know unless you know that's states definition of food. What about a fruit basket ? If any item is taxable, then the whole item is taxable. Or, which is the largest % of the total- food or non-food to determine if the total item is taxed.
States exempt items, but then try to define them to exclude as many items as possible from the exemption. (flavored water is a soft drink, honey roasted peanuts are candy). Are cough drops candy ? Could be....
If you are buying items to resell- then in some states you can buy the item tax free, other states at a reduced tax rate, or you might have to pay the tax no matter how you use the item. If you are a restaurant in Indiana, you can buy a stove tax free. It changes the nature of the food (cooking), so it is part of your manufacturing process and exempt. However, you must pay tax on a microwave oven, because it does not change the nature of the food, only heats it up? Tax code logic at work.
The best solution would be an single online sales tax rate for all items sold regardless of location. Then the tax could be divided up between the states according to sales $ to that state. Of course, this will never happen. States can't even agree on what food is...