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Losing Money on Shipping for returned item

We ship an item out (Free Shipping) it costs us $12.05 to ship its a $30.00 item. Ebay allows the return process to start even though the return is not a valid reason. Ebay gives us no option to deny this claim (hatchet not sharp) so we accept the return they get dinged with a 20% restocking fee = 6.00 we are out the other 6.05. This of course is an example but have been running into alot of this as well as being held hostage when we add shipping to the auction to reduce our shipping so they can pay and there is no way to report this shady activity that I know of until the person has paid or canceled their order. We  also notice buyers say this is wrong or its a little bent or something minor and ask for a replacement even though the item is sold as is. Do we just say NO RETURNS Period we value our feedback but we do not like being held hostage to do what the shady buyers want us to do in fear of negative feedback...that brings me to We take the time to issue a complaint about receiving Neg feedback (the 2-3 we have got) but NEVER hear back  nor has it been removed...Why even have it?

Message 1 of 19
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18 REPLIES 18

Re: Losing Money on Shipping for returned item


@valkseller wrote:

@a*river*runs*through*it wrote:

The cost of lost shipping is deductable as a business loss on your taxes.


Maybe you mean the cost of return shipping.

Your accounting for taxable income should have already been reduced by the original shipping.

Taxable Income equals = Sales Revenue - cost of goods sold

The cost of goods sold includes original shipping cost.

 

Google COGS (Cost of goods sold)

I hope your not paying taxes on the total of your paypal revenue.

 

 


Yes...the return shipping cost.

Message 16 of 19
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Re: Losing Money on Shipping for returned item

I charge for shipping and do not accept returns. Once it is sold I don't want it back. If an item is damaged in shipping I will help buyer with a claim, but prof of damage is required. Like a picture showing all damage to item with my shipping container. I never could understand how you can sell something for $35.00 and offer free shipping when the shipping cost is $20.00. Are you going through the trouble of listing items, packaging items, driving to UPS, listing the tracking number, sending email to buyer just to LOSE MONEY. If your doing this then why bother to list items and LOSE MONEY. All you free shipping Lister's out there maybe you should just have a yard sale every week instead. I think  the only time you should offer free shipping is when the item is so expensive you can afford to absorb the shipping to make the sale.  

   

 

 

Message 17 of 19
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Re: Losing Money on Shipping for returned item


@racingoval wrote:

I charge for shipping and do not accept returns. Once it is sold I don't want it back. If an item is damaged in shipping I will help buyer with a claim ..


If an item is damaged in shipping, the buyer is entitled to a full refund through eBay's buyer protection policy which they call the "Money back guarantee." They are not obliged to help you with your insurance clam.

 

https://www.ebay.com/help/policies/ebay-money-back-guarantee-policy/ebay-money-back-guarantee-policy...

Message 18 of 19
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Re: Losing Money on Shipping for returned item

Hello Everyone,

 

Due to the age of the thread, it has been closed to further replies.  Please feel free to start a new thread HERE if you wish to continue to discuss this topic.

 

Thanks for understanding!

Message 19 of 19
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