Sales tax

[larrymajordev]

Is anyone else shocked by the sudden collection of sales taxes on purchases now from any state? Is this someone’s idea of a tax cut?

[bonb7]

ridiculous!! horrible to tax us us in every way that can be done-
next the air we breathe! come on!! this is just a little home grown trade an old sweater etc.!!

I wouldn't want to give eBay another dime to collect and remit anything! just another way for them to make more and more money

[bonb7]

20 bucks here and there- is not a retailer!

[bonb7]

excactly!! who is voting these people in to find new ways to grab what little we get to keep!

[soh.maryl]

Please be advised that all internet sales through marketplace facilitators will be charged the state sales tax for your state.

[gestoutlet2015]

I also have this problem, paypal fees commissions I pay them, but do you know when ebay withdraws this tax money from our paypal account?

[sunnysouth1]

@gestoutlet2015 ,

As I have already explained to you eBay collects the tax. You see that tax amount in the payment transaction because PayPal charges a fee on that amount. The tax amount is not actually in your PayPal account.

[autopiacarcare]

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@sunnysouth1 wrote:

@gestoutlet2015 ,

The tax amount is not actually in your PayPal account.

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@sunnysouth1  - The tax amount does actually go in your PayPal account.

If everything works as it is supposed to, the transfer to eBay happens pretty much instantly, so in effect it is like it was never in your PayPal account, but it is actually there for that small amount of time and it's not just a game they play with numbers.

I and at least one other person reported here that in November there were some transactions that had eBay collected sales tax included in the payment, but due to some kind of error or glitch, that tax amount was not deducted back out to eBay as it should have been.

There are also several threads, like this one, where people have reported receiving an email from PayPal informing them there was an error, some transactions had not been debited for the sales tax correctly, and that they needed to make sure the necessary funds were in their PayPal account because those amounts would be debited within 10 business days.

The tax amounts that were not sent back to eBay as they should have been were left in our PayPal account and from what I've seen from others, they also had that amount left in their PayPal account.  Some people who just sweep their PayPal account every day may have even transferred that to their bank, not realizing that the tax amount hadn't been deducted as it should have been, which is why PayPal had to give a few days notice to give people time to make sure they had that amount in their account to cover the debits.

I know it may seem like a small point to quibble over, but it is important to know that the tax amounts are actually transferred in to your PayPal account and if an error occurs, you could have PayPal coming back to debit those amounts at a later time.

[sunnysouth1]

@autopiacarcare ,

I haven't experienced that at all.

My PayPal account shows the transaction, including the sales tax eBay takes. It's shown because PayPal charges a fee on the total amount paid by the buyer and that includes sale tax. I have never had any sales tax sit in my PayPal account for any length of time.

What you have described was a glitch that hasn't happened to all sellers.

[7606dennis]

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@bonb7 wrote:
horrible!!! its going to curb my use of eBay!!
who keeps voting for these people to tax us!?!?!

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Why would it cause you to curb your use of eBay?  

When it comes to state taxes, it is probably the voters of your state that voted them in.  However, since most states have had their sales/use tax laws on the books for decades, it is likely that many, if not most, of the legislators that enacted those tax laws are no longer in office.

Of course, the marketplace facilitator laws, although enacted recently, did not actually levy any new taxes.  They merely turned businesses like eBay, Amazon, etc. into tax collectors for them just like B&M retailers have been all along.

[7606dennis]

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@bonb7 wrote:
20 bucks here and there- is not a retailer!

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I'm not sure that your state would agree with you.

[7606dennis]

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@bonb7 wrote:
excactly!! who is voting these people in to find new ways to grab what little we get to keep!

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Assuming you have voted in past elections for your state's legislative representatives and at least some of them have been elected.  Then assuming that some of those have voted to enact marketplace facilitator legislation, you did, bomb7.

[roscossupplies]

I am a seller from Montana we have no sales tax or internet tax. But my customers are getting

charged a internet tax on my sales. Depends on the state they there from. This is wrong and we want it stopped

eBay needs to stop this pratice

[corvettestainless]

Sales tax has never had anything to do with what your state does- it always had to do with what state the customer is in. Amazon, Walmart, Wayfair, Sears, Target etc. have warehouses thoughout the US, and where they had one, when a buyer residing in that state made a purchase, they paid sales tax.. and have for a while. 

Trying to get this "practice to stop" is like saying you want State income, property etc. taxes to stop. It will never happen. 

[unclebuff111]

What it seems like to me is now the sellers have to mark up the item,and the buyer has to pay an extra 5% on their purchases A $1600 gold coin is now $1680,Buyers wont buy and sellers will be hurt by this too..Craigslist,Facebook mkt place,Reddit,Heritage Auctions NO FEES..See ya FEEBAY!!

[unclebuff111]

So if the seller has to pay $100 sales tax on an item,That money is paid by the buyer.Who do you think is going to be hurt by this? Now the seller has to mark up their item 10% to cover their taxes....EBAY will lose (Plenty)..I aint sticking around LOL