ebayshippingsupplies Sales Tax Inconsistencies

[blizzard2]

As a small store owner, I enjoy receiving the benefit of the $25 shipping supplies coupon. I've been sorry to see the value of that coupon declining, especially while other Seller fees continue to rise -- but that's a subject for a different post!

My last purchase through ebayshippingsupplies was in December, no tax was charged. When I tried to use my coupon today, I noticed what I now realize others have been experiencing also -- tax is being charged on this transaction, which is not covered by the coupon, and they don't take Paypal any longer. I live in Virginia. I double checked the Item Listing, which states the following: 

Sales tax may apply when shipping to: IA*, MN*, WA*.

* Tax applies to subtotal + S&H for these states only

I messaged them and received the same stock reply I've now seen others post. It's clear from posts here they are charging tax in more states than they say in their listing. So, first of all, how does Ebay allow that inconsistency? And, second, is it really correct that they are charging tax in my state? I haven't been charged tax for other purchases on ebay this year. I admit I'm not completely up to speed on these tax issues/rules, but something just doesn't seem right here -- especially with the combination of charging tax everywhere and having to use a credit card to pay that tax!

[myjunqueyourtreasure]

The taxes for IA MN & WA are being collected & remitted by ebay.

Any Sales Tax in other than those 3 states is being collected by the seller themselves who may have a nexus in the buyer's state.

And yes, the coupon can't be used to pay the ST (which sucks)

[blizzard2]

Thanks, but the statement about tax being collected in those 3 states is in the Item Listing itself under the Shipping tab. Doesn't the Seller control what it says there, and shouldn't Ebay care if it's not accurate? All of this just feels wrong, especially since our Ebay supplied shipping supplies coupon is only valid if we use this seller!

Also, I highly doubt that they have a nexus in my state (which they apparently didn't have in late December); the stock reply also includes this sentence: If we have over a certain sales volume in a year we are required by law to charge sales tax on purchases sent to the corresponding states that require it. So I'm guessing, with the volume of sales due to ebay's exclusive shipping coupon, they probably are charging tax now in a lot if not all states! But if they can make that change, they should also update their listings! But why the change to not using PayPal at the same time?

And yes, unfortunately the coupon not applying to sales tax makes sense -- same as a grocery coupon! But it is frustrating to continue to feel "nickeled and dimed" by ebay! (Which again, if we had a choice of where to use the coupon, it wouldn't feel like it was an ebay disservice)

[myjunqueyourtreasure]

Well it's a bit of a mess right now anyway as in WA shipping supplies are supposed to be tax exempt.

[blizzard2]

Oh no! Didn't know that. Tax Laws...ugh...it's all getting too complicated!

[computeraidllc]

First off, the Supreme Court ruled in June or July 2018 that states can put an economic nexus for out of state sellers. An economic nexus is when a seller sells a lot of items or a lot of dollar value items say 100 items and 10,000 in sales. This is something that all sellers will have to deal with this year. Also the ebay supplies store is now on the new managed payments system so they cannot take paypal right now. That will change this summer.

I have ran into this with this seller and several others where it isn't showing the correct tax table. It now looks like eBay changed things around with it so it now says sales tax may apply. The issue with that is what is the percentage and is the seller collecting for my state! I am finding eBay is more and more breaking stuff than fixing there issues they have.