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Sales tax . . . the problem has begun

SCOTUS  has ruled 

 

the problems will be enormous 

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Sales tax . . . the problem has begun

> I will just walk away from selling period.

 

Me too. I plan to be out of business by year's end.

  The hassles of getting up st 4:30 AM to drive around to the markets or sitting at auctions all Saturday in the rain and the wind, only to be wrenched in one direction or another by eBay, for a small profit? It ain't worth it no more.

    If folks in California want real Amish stuff from Lancaster, PA, they'll just have to make the trip here and sit at the auctions themselves.

   

Message 106 of 284
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Sales tax . . . the problem has begun

This is insane. So now people will have to tax for **bleep** from their grandmas basement? This will kill eBay and Etsy and the only thing that will benefit is the Facebook garage sale pages. Craigslist May make a comeback. 

 

 

Message 107 of 284
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Sales tax . . . the problem has begun

Every store in out local area is closed. Included the huge mall. In bankruptcy, Internet is the only thing going. yea!!! Lets ruin that too!!!!!!!!!!!!!!!!!!!!!!!!!!!!way to go!
Message 108 of 284
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Sales tax . . . the problem has begun

As much as I'd like to believe that eBay lobbied against this, I am skeptical.  This decision can in the end turn out to be a revenue generator in the way of FVFs for the total collected amount including tax,  just like adding in shipping costs to the total FVF calculation now is.

 

This is designed to drive small hobby sellers out of business and also get the IRS involved as well.

 

I've had my selling account since 1999 with over 700 feedbacks and the past six months has been the worst I've ever seen here business-wise.  It's been fun, but it's over.

Message 109 of 284
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Sales tax . . . the problem has begun

The usps is going to lose a LOT of money because so many will walk away from selling. This is a travesty.
Message 110 of 284
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Sales tax . . . the problem has begun

Closing our store, final straw.
Message 111 of 284
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Sales tax . . . the problem has begun


@rooroo64 wrote:

 

 

This is designed to drive small hobby sellers out of business and also get the IRS involved as well.

 


It is not designed to drive out small and or hobby sellers.  This has been in the works for a number of years.  Big Box lobbying group and state treasury departments are not worried about small online sellers.  That is not to say that the ruling would not allow them to collect says tax from small sellers transaction, because it does not have any stipulations to the ruling.

 

Congress will take the ruling and carve it up.  States like Oregon that does not have any sales tax are going to be very upset about this and probably delay any vote in congress. 

 

Keep in mind that some states might not even go after this tax revenue (as if) and might pass state laws that benefit Internet sellers as a way to draw more businesses to there states.  Most registered businesses have employees, and keeping the residents employed is a win win for the states economies.

 

I think we just need to keep a watch on the registered business aspect of this versus small time hobby sellers. 

 

Part of the compromise in order to get federal law passed through congress will probably have some language exempting smaller sellers who are not registered.

 

This does not mean you will get a free pass, it might mean the opposite.  Law could easily be added that requires marketplaces like eBay to provide sales data for when a seller reaches a certain level by which the Govt will require a registered business license and Internet taxes will then apply.

 

Everything is just speculation at this point because this is an election year so not many congress persons will tackle anything the rest of the year anyways.

 

Good Luck Selling!

 

 

Message 112 of 284
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Sales tax . . . the problem has begun

All sales taxes are paid to the state. You list each county/city/locality on the state form. The state then disburses the monies to where they belong. So still only one form for each state.
Message 113 of 284
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Sales tax . . . the problem has begun

Think about this for a min also. Ebay seller has their tax exempt state resales license but purchase their products wholesale from another state and has their products shipped in for stock. But the wholesaler now charges tax to the Ebay seller. What will that do to the Ebay sellers pricing ?

Message 114 of 284
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Sales tax . . . the problem has begun


@noodlevette wrote:
Quarterly.

For those unfamiliar with collecting and paying sales tax, let that sink in. Four times a year.  For me it started out as MONTHLY in my state. Guess they got tired of $7 checks. Now it's electronic checks. This means going into the state's web site and providing bank account information. Do you want your bank account information spread out all over the USA? Do you want to add up tiny tax payments and remit them once a month or quarterly? 

 

It's just insane.

Message 115 of 284
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Sales tax . . . the problem has begun

I started reading all of these posts, but it became overwhelming.

My main question is how does this affect someone who occasionally sells a few items? It is not a business to me, just a way to sell a couple books or some yarn.

Do we even know yet how it will affect the casual seller? 

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Sales tax . . . the problem has begun

Don’t count on Congress doing anything very soon.  This is an issue that could be argued about forever.

 

Also, don’t assume that small sellers aren’t “registered businesses”.   I am about as small as you can get on eBay, but I have a city business license and a state sales tax resale number.

Message 117 of 284
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Sales tax . . . the problem has begun

Realistically when a buyer buys something it is irrelent whether the seller is small or large. I think Ebay will have to collect in all states for all sellers, regardless of whether the seller is large or small. 

Message 118 of 284
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Sales tax . . . the problem has begun


@mimare7 wrote:

I started reading all of these posts, but it became overwhelming.

My main question is how does this affect someone who occasionally sells a few items? It is not a business to me, just a way to sell a couple books or some yarn.

Do we even know yet how it will affect the casual seller? 


No we do not know any details yet because all that has happened is a ruling from the Supreme Court.  Congress will still have to enact laws to make any federal law fair to the entire nation.

 

Good Luck Selling!

Message 119 of 284
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Sales tax . . . the problem has begun

Ebay might do the coding, but who's going to do the filing?  I've read there are 16,000 jurisdictions.....that's too much for most small businesses.

 

Message 120 of 284
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