We are getting screwed

[but_it_on_sale_hun]

I just recently realized how much EBAY is screaming the sellers.  When I began to look at the final value fee charged.  I realized that if my item sells for 25.00 and the buyer pays 10.00 for shipping and then pays 5.00 for taxes.  EBAY charges the 13% Final Value fee on $40.00 not the actual 25.00 which was the selling price.  So that’s a huge difference.  Then we pay eBay for shipping costs which they offer a discounted rate.  (Insider info eBay gets an exceptionally good deal from all shipping partners and they only pass on a portion of that deal) more money for eBay.  Then they also take the tax money back.  So they are charging us a fee for taxes and shipping yet keeping that money.  It would be to charge the final value fee to me if I received the taxes and shipping charges the customer paid but I don’t! eBay keeps it. To further profit. This is unethical and should be illegal business practices.  Anyone else **bleep** off about this? 

[ethylsgarage]

I used to sell on Amazon. It's about half of what Amazon takes from an average sale.

[tptman!]

Ok, so they're passing the taxes on to the government.  That's fine, but charging the seller a fee on the shipping AND taxes?  That's really, really low.

[monica-sells]

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@tptman! wrote:

Ok, so they're passing the taxes on to the government.  That's fine, but charging the seller a fee on the shipping AND taxes?  That's really, really low.

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Welcome to the party....so....what's your take on this scenario with these 2 sellers?

Billy and Patty both have the same game for sale.

Billy sells the game for 10.00 + 15.00 Shipping (TOTAL $25.00)

Patty sells the game for $25.00 with Free Shipping (TOTAL $25.00)

Billy is charged 1.33 + .40 in Final Value Fees for a net profit of 23.27

Patty is charged 3.33 + .40 for the SALE item for a net profit of 21.27

that seems fair to me (I'm Billy)......NOT!

As far as the paltry sum we pay in FVF on sales tax....as long as ebay takes the massive responsibility of collecting, reporting and remitting that pesky little sales tax...that's a small price to pay.....

[hartungcards]

You lost me at, "When I began to look at the final value fee charged..."

[richard1rst]

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@but_it_on_sale_hun wrote:

 if my item sells for 25.00 and the buyer pays 10.00 for shipping and then pays 5.00 for taxes.

$5 tax on a $25 sale would be a tax rate of 20%. Doesn't exist.

Try turning down the hyperbole if you expect to get helpful answers.

[dbfolks166mt]

Ok, so they're passing the taxes on to the government.  That's fine, but charging the seller a fee on the shipping AND taxes?  That's really, really low.

     You don't have any listings on this account but some food for thought. Put yourself in eBay shoes as a business. 

1. Are you offering free shipping on your listings and making the buyer pay sales tax on the shipping cost that is baked into your price even though they may live in a state that does not charge sales tax on shipping? That seems a bit low. 

2. If you are using calculated shipping are you passing the eBay discounted shipping rate onto the buyer or are you charging the buyer full retail for shipping and keeping the difference between what the buyer paid you for shipping and the discounted rate you actually paid? That seems a bit low

3. Are you making a profit off the items you sell? That seems a bit low.

[kenneth686321]

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@mtgraves7984 wrote:

Anyone else **bleep** off about this? 

@but_it_on_sale_hun 

Late to this party, but I see that your misconceptions have been clarified. You feel okay about your 56 live listings? 🤞

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So apparently the OP is so **bleep* off about Ebay's unethical and illegal business practices that they increased their live listings from 56 to 97 since their post. Can't you just feel their white hot rage at Ebay as they continue to make a pretty enviable rate of sales since then? 

[soh.maryl]

Pretty sure that eBay fees aren't kept secret from sellers.  Any seller can read about how FVF is calculated before, during and after the sale.  

[loose_goose_garage]

It seems a lot of people don't realize that the small FVF you end up paying on the Sales Tax amount is peanuts compared to the hassle of having to file tax returns in so many other states.

[luckythewinner]

When I began to look at the final value fee charged.

I never buy something and then look at my credit card bill when it comes in order to find out how much I paid. 

Similarly, when I am deciding whether to use a service I determine how much it costs BEFORE I use the service, not afterward. 

This is unethical and should be illegal business practices

eBay published a fee schedule that explain exactly what the fees are.