Washington State Sales Tax

[performancefootwear]

Hello,

I have a retail location in Washington State and therefore have to pay sales tax on all ebay sales that are shipped to buyers within Washington state. I don't charge sales tax to any other states, just Washington. eBay was charging my Washington State sellers fine until Jan. 1 2019, at that time for whatever reason ebay stopped charging sales tax to my ebay buyers in Washington state. 

I've gone into my ebay preferences to try and change it back, but next to Washington state sales tax it says "

We collect sales tax in accordance with applicable state law. You no longer need to collect and pay it to the state."

and will not allow me to check the box and enter in the sales tax I would like to charge. However, eBay is not collecting/ charging sales tax to Washington buyers. 

Any advice on how I can still collect my sales tax?

Much appreciated,

Angela

[autopiacarcare]

eBay is now collecting and remitting the tax directly due to Washington's Marketplace Facilitator law. https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121#section4

[mam98031]

Ebay didn't stop charging WA sales tax.  They STARTED collecting it themselves and they are no responsible for remitting it to the state of WA.  

So you no longer are responsible for collecting and remitting the tax.  Then new Facilitator law in the state of WA makes it Ebay's responsibility.  However you still need to report your $$ of sales in the state that are subject to sales tax, then you take a deduction for the $$ of sales that Ebay has collected sales tax on.  So for your Ebay sales it would net out to zero, but you still need to put it on your tax return to the state.

You can't change it back to you collecting the tax for the State of WA.  Ebay won't allow it and the state of WA doesn't want you doing that anymore.  The State has put the responsibility on Ebay and other similar sites as the Facilitator.

[mam98031]

This information may help as well.

https://dor.wa.gov/find-taxes-rates/retail-sales-tax/marketplace-fairness-leveling-playing-field/mar...

[performancefootwear]

Thank you for your response! This makes much more sense. So the tax that eBay collects and remits to the state isn't suppose to show up on my invoices? Because my Washington state sales aren't showing the buyer paying any sales tax.

Thanks,

Angela

[mam98031]

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@performancefootwear wrote:

Thank you for your response! This makes much more sense. So the tax that eBay collects and remits to the state isn't suppose to show up on my invoices? Because my Washington state sales aren't showing the buyer paying any sales tax.

Thanks,

Angela

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Your buyer sees it and has to pay for it, but not everything is disclosed to you by Ebay in the same format.

But you are JUST FINE.  We will be fine.  I too am in WA and I've done some research on this as well as reached out to WA DOR so I make sure I'm being proactive about what my reporting requirements are and have to go OH S*** at the end of the year.  LOL

Let me know if you have any other questions.  I'm happy to help if I can.