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Posted By: RedHat Sales Tax on eBay Items - Tue May 21 2019 03:33 AM
I was curious if anyone else had run into this issue as it’s nearly forced me off of eBay entirely. Since the turn of 2019, I’ve had to pay over 8% sales tax on EVERY SINGLE PURCHASE on eBay. That adds up as our hobby gets more and more expensive. It no longer matters if the item is in the same state, or country for that matter, if it’s through a private seller or store. I’m no lawyer, but from what I read there are 8 states (NJ included) that have agreed to allow the IRS to perform this BS tax collection and, for me, it’s the final straw with eBay. I used to sell and buy a couple thousand dollars worth of items each month on eBay as just a casual collector. I’m now down to a couple hundred dollars either way, at best, as I refuse to pay an extra nearly 10% on everything I buy. This is, of course, in addition to the plethora of other issues with eBay from fakes and fees to frauds. Anyone else run into this issue or know what the heck eBay is doing?
Posted By: advertologist Re: Sales Tax on eBay Items - Tue May 21 2019 04:02 AM
they start this here "Taxes may be applicable at checkout. Learn more" will force a lot of people back too the swap meets .. ... cool

received this May 3rd from ebay so it must be coming here in Calif.

eBay
Dear Buyer,

eBay is now legally required to collect and remit sales tax on behalf of sellers, for items shipped to buyers in certain states. If you are a tax-exempt buyer (e.g. a charitable entity, reseller etc.), you can submit a tax exemption certificate to eBay and make purchases on ebay.com without paying tax.

How to qualify for tax exemption on eBay
Please upload a valid Exemption Certificate here (select “General Information” in the drop down menu). Include the following information in the Comments section:
• Contact Name
• Business Name
• eBay username

It may take 10-14 days for us to process your tax exemption status on eBay. We will send you an email confirmation when it has been completed.

Alternatively, you may be able to get a credit for sales tax paid to eBay sellers, directly from your state. You should consult a tax advisor or contact the Department of Revenue for your state for further details, as policies are different for each state.

For more details and FAQs on when tax is applicable on your eBay purchases, visit our Help page.

Thank you,
eBay
Posted By: advertologist Re: Sales Tax on eBay Items - Tue May 21 2019 04:37 AM
these are the states too be taxed so far: .. ... cool

eBay sales tax collection:

Based on applicable tax laws, eBay will calculate, collect, and remit sales tax on behalf of sellers for items shipped to customers in the following states:


Minnesota -

Washington

Iowa

Connecticut

District of Columbia

Nebraska

New Jersey

Alabama

Oklahoma

Pennsylvania

South Dakota

South Carolina



Posted By: openwheeler12 Re: Sales Tax on eBay Items - Tue May 21 2019 06:59 PM
I just sold a vintage license plate to some one in Iowa, as I sent my invoice I noticed there was 6% sales tax added on. I'd not run into this before so I called eBay, the person I talked to first of all spoke very poor English and really had no clue what I was asking. I just took it off my invoice and sent the invoice on. I wonder if an Iowa tax collector is going to come after me for the 1.20$??? I've also about had it with FEE BAY.
Posted By: Paul Bell Re: Sales Tax on eBay Items - Tue May 21 2019 10:11 PM
I havent seen this yet. So it's NOT taken from the seller as another fee, but tacked on top of the buyers cost immediately upon purchase? I'm surprised ebay didnt figure out a way to screw their sellers over on this, it's their approach typically. Every fee I need to eat as a seller just gets tacked on to the price, so just confirming I dont need to increase all my ebay listings prices, again... I wonder if shipping is taxed as well.

All the states (or most of them) will have this soon.

I actually dont think its right the internet is tax free and brick and mortar stores have to charge sales tax, BUT ebay is already expensive enough as is.

I've also been waiting for the day when we get 1099 tax forms from ebay, I imagine that day is coming too.
Posted By: trifiver Re: Sales Tax on eBay Items - Tue May 21 2019 11:15 PM
eBay does send 1099's Out, but i think you Need to sell $20 K per year to get one

Have you see Craigslist lately ? car adds now cost $5.00 Bucks per Car , I was told eBay Bought Craigslist so soon all the ads will cost .eBay to me is a rip off

Sid
Posted By: RedHat Re: Sales Tax on eBay Items - Wed May 22 2019 12:00 AM
Thank you for the info, Randy! It definitely seems like something that will eventually spread to every state. Hopefully it takes a while to get to you guys.

Originally Posted by openwheeler12
wonder if an Iowa tax collector is going to come after me for the 1.20$??? I've also about had it with FEE BAY.


That’d be a hell of a story if they did 😂

Originally Posted by Paul Bell
I wonder if shipping is taxed as well.

All the states (or most of them) will have this soon.


I wouldn’t be suprised honestly. The fact that they charge a 10% seller’s fee (and the PayPal fee 2.5% plus 50 cents on every transaction) on the shipping costs a seller charges a buyer would speak to that. I understand that in the earlier “Wild West” days of eBay, Sellers would skirt fees by charging all of the item’s cost in the shipping and listing the item price as $1....but today, when shipping THROUGH eBay’s postage system, there is no way to cheat it. They just keep pushing to see what they can get away with it seems 🤷‍♂️

Originally Posted by trifiver

Have you see Craigslist lately ? car adds now cost $5.00 Bucks per Car , I was told eBay Bought Craigslist so soon all the ads will cost .eBay to me is a rip off

Sid


Seriously? I’ve not seen that yet, that’s crazy! Leave it to eBay to ruin everything they touch lol
Posted By: keithia Re: Sales Tax on eBay Items - Wed May 22 2019 03:03 AM
I live in Iowa and I bought an expensive oil can after the first of the year. Went to check out and there was an extra 7% tacked on. Contacted the seller and they said they did not do that but Ebay had. On my Paypal account it showed a payment to the seller for the correct amount plus shipping and another payment to Ebay for the tax. Not happy as it was not disclosed any place!!
Posted By: Paul Bell Re: Sales Tax on eBay Items - Wed May 22 2019 05:37 AM
Originally Posted by keithia
I live in Iowa and I bought an expensive oil can after the first of the year. Went to check out and there was an extra 7% tacked on. Contacted the seller and they said they did not do that but Ebay had. On my Paypal account it showed a payment to the seller for the correct amount plus shipping and another payment to Ebay for the tax. Not happy as it was not disclosed any place!!


Typical ebay, that should have been disclosed upon bidding. They probably have it written into the fine print user agreement that no own reads. Looking forward to getting requests for sale cancellation or price reductions from buyers because of the additional tax.
Posted By: Cold Pizza Re: Sales Tax on eBay Items - Wed May 22 2019 11:22 AM
This state tax charge could be the final straw for ebay sellers.
Posted By: It's for sale Re: Sales Tax on eBay Items - Wed May 22 2019 01:49 PM
Originally Posted by trifiver
eBay does send 1099's Out, but i think you Need to sell $20 K per year to get one

Have you see Craigslist lately ? car adds now cost $5.00 Bucks per Car , I was told eBay Bought Craigslist so soon all the ads will cost .eBay to me is a rip off

Sid


The company was believed to be owned principally by Newmark, Buckmaster and eBay (the three board members). eBay owned approximately 25%, and Newmark is believed to own the largest stake. In April 2008, eBay announced it was suing Craigslist to "safeguard its four-year financial investment".
Founder(s): Craig Newmark
Key people: Jim Buckmaster (CEO)
Net income: US$500 million (2016)
Revenue: US$694 million (2016)
Craigslist - Wikipedia
https://en.wikipedia.org/wiki/Craigsli
Posted By: marky Re: Sales Tax on eBay Items - Wed May 22 2019 03:39 PM
ive gotten 1099 for 2017 and 2018 both were under $800
Posted By: trifiver Re: Sales Tax on eBay Items - Wed May 22 2019 04:11 PM
From Craigslist Posting

Automotive-by-Owner Ads
Rules and Resources for paid automotive-by-owner postings

Q. What is the fee for paid automotive ads?

A. $5.

Q. How long do paid automotive listings last?

A. 30 days.

Q. What about reposts and renewing / renewals of existing ads?

A. Reposts cost the same as a new ad ($5). The renewal feature is not available in paid categories. To move an existing ad to the top of the listings, use the repost option (see: reposting paid ads)

Q. What forms of payment are accepted?

A. VISA, Mastercard, American Express.

Q. How do I pay for a posting?

A. You will be prompted for payment at the end of the posting process.

Q. Are paid ads subject to automated deletion due to user flagging?

A. No. Paid ads flagged by users are reviewed by staff prior to any deletions.

Q. Do I need a craigslist account to post?

A. No.
Posted By: Cold Pizza Re: Sales Tax on eBay Items - Wed May 22 2019 06:01 PM
Seeing many eBay sellers now state "No Paypal,E-check only" in their ads to cut down on costs too.
Posted By: Paul Bell Re: Sales Tax on eBay Items - Wed May 22 2019 08:04 PM
How does that work? The e-check thing? Anybody know.
Posted By: KZ1000 Re: Sales Tax on eBay Items - Wed May 22 2019 09:58 PM
Craigslist charging $5.00 per auto ad is probably the best thing they could do, itll for sure get rid of of most of the scam postings.
If only some of you complaining about fees were around when you couldnt list an item anywhere without an upfront cost for the ad space, and it only reached your local area.
I still think the fees are the best bargain for the worldwide audience and over the top retail prices realized.
Posted By: RedHat Re: Sales Tax on eBay Items - Thu May 23 2019 01:00 AM
I appreciate everyone weighing in, always good to hear what you guys think 👍

Originally Posted by KZ1000
I still think the fees are the best bargain for the worldwide audience and over the top retail prices realized.


Always good to hear the other side of the argument, thank you for weighing in. While I was speaking more on the buying side of things (the sales tax), I’ll gladly address the fees, as well. While I agree with you that eBay once offered our items the best exposure to a national audience, there was no platform that could compare, I believe that with the rise in popularity of Instagram pages and Facebook groups and other such outlets with over 25,000 members with common interests that eBay is no longer such a bargain. I find this doubly so when every year new fees/taxes/whatever are enacted, taking more and more money out of both the buyer’s and seller’s pockets as this exposure becomes less and less impressive.

In addition to this, these other platforms allow for relationships to build with collectors, not only from around the States, but around the world. I find this as important, if not more important, than dwindling exposure. As eBay charges more and and more every year, they also restrict more and more of our communication. Meanwhile, the amount of American and foreign collectors I’ve met, become acquainted with, traded with and bought from or sold to and actually formed a relationship with because of Instagram and FB is mind-blowing. eBay, on the other hand, shuns all forms of communications between buyers and sellers that would result in an actual relationship forming and forces one or the other to go through hilarious loops just to exchange emails or phone numbers. If that isn’t sad enough, a member here has recently reported that eBay will end up charging the selling fee if they suspect you sold an item listed on eBay outside of it, even if you did no such thing. In my opinion, a passiveness that shuns discussion is what has allowed eBay to do as they please and why we see more and more of this kinda thing enacted every year. I think it is important to, at the very least, talk about these things and not just accept the fate eBay chooses for us.

Now, as far as prices realized on eBay being over the top, a platform that encourages shill bidding would naturally become subject to outrageous hammer prices. These fees/taxes and other add-ons we speak of cause sellers to find workarounds. This means list prices go even higher, shill bidding becomes more common, shipping costs increase (I’ve never agreed with sellers getting charged 12.5% plus $0.50 on shipping charges they pay through eBay, not only does that seem unfair as you can’t cheat the postage, that additional cost is, again, being put on the buyer) and the whole experience becomes unrealistically inflated. Nekbe, the infamous eBay shill-bidding seller, has bid his own items up for years with no penalty realizing some laughable prices for common items. Don’t get me wrong, there’s always a bidder out there that wants an item unreasonably bad and will drive up prices to get what they want, but that is in no way something unique to eBay. Free, fee-less offer and auction pages on FB have also seen some of the highest hammer prices in the hobby. It’s when these high prices are realized on eBay on some of the most common items in our hobby that it becomes painfully obvious what is occurring and why. We’ve all spoken for years about the “wonders” of eBay as a seller, but I’m more concerned in this instance as the buyer is now becoming more and more prone to being on the receiving end of eBay’s ***** storm
Posted By: Hardy's Garage Re: Sales Tax on eBay Items - Mon Jun 03 2019 02:45 PM
I live in NY, made a purchase out of Indiana, and was just hit with $29 in taxes. No advanced warning whatsoever and neither state was included in Randy's 5/21 post. This thing is growing fast. No taxes paid on purchases made 3 weeks ago. Amount was just added to the invoice. Last ebay buy for me.
Posted By: ROCCO2 Re: Sales Tax on eBay Items - Mon Jun 03 2019 03:05 PM
Hey Marshall , missed you Saturday but saw the boys hope your feeling better.
Rock
Posted By: RedHat Re: Sales Tax on eBay Items - Tue Jun 04 2019 01:50 AM
Originally Posted by Hardy's Garage
I live in NY, made a purchase out of Indiana, and was just hit with $29 in taxes. No advanced warning whatsoever and neither state was included in Randy's 5/21 post. This thing is growing fast. No taxes paid on purchases made 3 weeks ago. Amount was just added to the invoice. Last ebay buy for me.


That’s not good. I feel for people that use eBay as their main form of income (flippers/resellers/etc.) as I can’t see this not seriously hurting the number of people willing to buy through the platform. I was buying multiple items a day before this, I’ve maybe bought four items since I made this post and they were all low value items as that 7% becomes more and more expensive the higher the item price goes. This is an even bigger problem as our hobby gets more and more expensive. I don’t see how this isn’t going to hurt everyone from the top down.

Now, if you have a seller that isn’t scared off by eBay’s threats of punishment for exchanging emails, an easy way to bypass their algorithm is to simply take a photo of your email and send the photo through their messaging system. I’ve dealt with a few sellers that were okay with this and from there I just made payment directly to their PayPal bypassing the BS sales tax. If you really want to stick it to eBay, you and the seller can agree to cancel the sale on eBay and eBay won’t get their 10% either. The buyer is still covered under PayPal Buyer Protection if paid for through Goods and Services which is more than satisfactory. But, that’s everyone else’s call wink
Posted By: advertologist Re: Sales Tax on eBay Items - Tue Jun 04 2019 02:04 AM
Originally Posted by RedHat
eBay’s threats of punishment for exchanging emails, an easy way to bypass their algorithm is to simply take a photo of your email and send the photo through their messaging system. I’ve dealt with a few sellers that were okay with this and from there I just made payment directly to their PayPal bypassing the BS sales tax. If you really want to stick it to eBay, you and the seller can agree to cancel the sale on eBay and eBay won’t get their 10% either. The buyer is still covered under PayPal Buyer Protection if paid for through Goods and Services which is more than satisfactory. But, that’s everyone else’s call wink


good tip .. ... cool
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