[Resolved] eBay Charging SELLERS Tax if Buyer Is in Certain US States

manbearpig on 11/11/2019 - 11:51
Last edited 11/11/2019 - 22:37 by 1 other user

So I sold an item on eBay for about $300 to a buyer in New Jersey.

I noticed my PayPal payment having a line that says

TAX COLLECTED BY EBAY $19.22

I looked into it:

www.doctorofcredit.com/ebay-begins-collecting-sales-tax-wa-m…

Is this not ridiculous? Why does the seller get taxed? People have to pay extra so they can sell online to those states?

Not only that, but eBay does not allow you to exclude those states. So you have no option but to not ship to the US at all if you don't want the risk of having to pay an additional tax.

I'd cancel the transaction if I could, but eBay now no longer refunds the PayPal fee, so it's lose lose either way.

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  [Deactivated] on 11/11/2019 - 12:07

  +1

  Are you sure it's the seller that pays it? I thought buyer pays local sales tax collected by ebay, like the GST added recently.

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  MoshPitShaq on 11/11/2019 - 12:19

  This should only impact the buyer, not the seller.

  I don't sell on eBay anymore. My personal experience has been that all the fees and buyer protections really screws sellers over… As a buyer, its great though.

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  skid on 11/11/2019 - 13:53

  This is the new normal. It's not just ebay either. If ebay were nice, they'd give you the option of pricing the item including or excluding tax.

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  manbearpig on 11/11/2019 - 13:56

  +1

  Ok, I'm stupid. I misread the invoice.

  It looks like the buyer paid the tax, which initially went to me. So I was initially paid the additional $19.22, but then in the invoice it says

  TAX COLLECTED BY EBAY $19.22

  So, yes, eBay is just collecting the tax the buyer paid to me.

  This was the first time as a seller to see tax being collected, so I kind of freaked out seeing –$19.22 in the invoice. My bad.

  • 

    JimmyF on 11/11/2019 - 14:53

    /thread nothing to see here

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    singingwolf on 11/11/2019 - 21:08

    US getting back at AUS for adding tariffs to overseas items. They call it GST but it is no different to US charging China tariffs on goods. US just want to even things up with AUS. Stupid idea Aus gov't. Curbing natural market conditions. Lot of good it's made on local businesses…