Sales tax collected on Ebay for my state

[flyingpig]

Are these taxes sent to me by Ebay as part of my income? They don't show what the breakdown is and I have to pay my state board taxes before the end of January. I don't want to pay taxes on the income amount that includes taxes! I need to deduct that amount ebay charged so I am paying the correct amount to California. Any tips here? Thanks so much! Michelle

[lacemaker3]

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@vsb1146 wrote:

We made several purchases from a seller in Indiana. We live in Texas. Is ebay collecting Texas taxes on my out state purchases an submitting to Texas? Are collecting sales tax for Indiana and submitting them to Indiana?

We are confused on this.

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@vsb1146,

Sales tax are charged based on the delivery address where the items are delivered. They are collected for and remitted to the state where the items are delivered to, for every state that has a sales tax (all but 5 states) and that has passed a law requiring eBay to collect the sales tax (all but 1 state, until Jan 2023).

eBay collects Texas sales tax on all purchases that are shipped to Texas and remits the funds to Texas. They don't collect any sales tax for the state where the seller is located.

[*tyme2shyne*]

I'm not sure, but I would think that you would report to your state, or any other state, the amount of taxes eBay collected for you and should be paying on your behalf. Personality, I would rather collect the taxes and  pay the state(s) my self since I don't do no where near the volume that it takes to form a Nexus, or even to report the income.  Or at least not  until I have made enough to report.  Crazy.  

[hoppe_mik]

That's not exactly true it would be nice if it was.

For the State you are selling in you will need a resellers license, in order to keep a reseller's license no matter if eBay collects the sales tax in the state you sell or not, specifically in the state that you sell and you will need to report the gross amount of sales for the year even if eBay collects them. If not your sales tax license/reseller license will most likely be revoked and in the state of Texas you will be fined $500 a day if it is revoked

[buyselljack2016]

flapdoodle

[kh-cathy]

Hi everyone,

Due to the age of this thread, it has been closed to further replies. Please feel free to start a new thread if you wish to continue to discuss this topic.

Thank you for understanding.