Ebay Sales Tax on Everything Now?

[Stampsfan]

Originally Posted by Exhibitman

Per eBay for marketplace responsibility tax states: “Once eBay starts to collect tax in the above states, no action is required on your part, and there will be no charges or fees for eBay automatically calculating, collecting and remitting sales tax”

I wonder how long it will be before eBay starts charging for that service?

[Northviewcats]

Originally Posted by Stampsfan

I wonder how long it will be before eBay starts charging for that service?

I'm sure that it costs eBay a lot to collect and send the tax to the States. The executives at Ebay are smart. It would not surprise me to learn that eBay has already negotiated with the States to deduct their costs of collecting the tax from their distributions to individual States.

It could be a great deal for both eBay and the States.

[ramram]

With the windfall that the states will be receiving as this internet tax net grows wider even beyond ebay, I wonder if they'll reduce the tax rates?

Rob M

[savedfrommyspokes]

When I ordered my ebay shipping supplies and paid for them with my quarterly ebay supplies coupon, I was charged sales tax. This quarterly coupon does not cover the sales tax (as indicated in t/c), so I had to use $12 of my ebay bucks to get my "free" ebay s/h supplies. What is weird is I have paid for multiple other things since January 1st, including within my own state, and have not been charged any sales tax anywhere except here. The supplies mailed out of KY, so I am not sure why this state is charging sales tax now. Perhaps this supplies vendor is large enough they are collecting for my home state. Hopefully ebay will change the terms on this coupon to allow it to cover the sales tax on my "free" stuff.

[Yastrzemski Sports]

Originally Posted by savedfrommyspokes

When I ordered my ebay shipping supplies and paid for them with my quarterly ebay supplies coupon, I was charged sales tax. This quarterly coupon does not cover the sales tax (as indicated in t/c), so I had to use $12 of my ebay bucks to get my "free" ebay s/h supplies. What is weird is I have paid for multiple other things since January 1st, including within my own state, and have not been charged any sales tax anywhere except here. The supplies mailed out of KY, so I am not sure why this state is charging sales tax now. Perhaps this supplies vendor is large enough they are collecting for my home state. Hopefully ebay will change the terms on this coupon to allow it to cover the sales tax on my "free" stuff.

They may now automatically add tax to shipping supplies because they are not generally items you are buying to resell. You are buying them to use them and do not qualify for nontax status.
They used to send me quarterly coupons through my messages and I haven’t received any in a while. I am going to contact them to find my supply money. Thanks.

[savedfrommyspokes]

Originally Posted by Yastrzemski Sports

They may now automatically add tax to shipping supplies because they are not generally items you are buying to resell. You are buying them to use them and do not qualify for nontax status.
They used to send me quarterly coupons through my messages and I haven’t received any in a while. I am going to contact them to find my supply money. Thanks.

My state has a $100k (no transaction) threshold for having to collect taxes, so my guess is that they are collecting for my home state. No longer need to claim the value of my free supplies on my use tax filing.


I have not received a message about the ebay supply coupon in a few years. However, you can access your code by clicking on the "promotions" tab and then clicking on "subscriber discounts". Your code will be found when click on "see details" under the shipping supplies box.

[thecatspajamas]

Originally Posted by Yastrzemski Sports

They used to send me quarterly coupons through my messages and I haven’t received any in a while. I am going to contact them to find my supply money. Thanks.

Go to: https://www.sd.ebay.com/subscriberdiscounts

Assuming you have an eBay Store subscription, the first item should be a link to your quarterly coupon code for shipping supplies based on your store subscription level.

[deeg23]

Originally Posted by thecatspajamas

Go to: https://www.sd.ebay.com/subscriberdiscounts

Assuming you have an eBay Store subscription, the first item should be a link to your quarterly coupon code for shipping supplies based on your store subscription level.

Thank you for that!! I was wondering where my coupon was last quarter!

[Bram99]

Originally Posted by ramram

With the windfall that the states will be receiving as this internet tax net grows wider even beyond ebay, I wonder if they'll reduce the tax rates?

Rob M

That is truly funny. I will more likely see a Chocolate, Rainbow colored, T-Rex-acorn before my state (Illinois) decides they have too much tax revenue and can start lowering rates! But that was funny.

[tjb1952tjb]

Originally Posted by Bram99

That is truly funny. I will more likely see a Chocolate, Rainbow colored, T-Rex-acorn before my state (Illinois) decides they have too much tax revenue and can start lowering rates! But that was funny.

Ditto California...................

[JustinD]

Personally, I can see some great opportunities for new business in sales tax exempt states. One could create a po box type mail center for buyers in high tax states and then mail the item to the subscriber tax free as this is address based.

Here in Detroit there are many businesses that provide po boxes to Canadians looking to avoid tax and excessive shipping on bought goods and no one bats an eye. I am sure the Canadian tax authorities hate it, but they advertise openly.

I know people are going to jump on this as working the system, but as I consider sales tax on used goods a sham in excess of skipping tax on on those goods...I couldn't care less.

[MikeKam]

Originally Posted by JustinD

Personally, I can see some great opportunities for new business in sales tax exempt states. One could create a po box type mail center for buyers in high tax states and then mail the item to the subscriber tax free as this is address based.

Here in Detroit there are many businesses that provide po boxes to Canadians looking to avoid tax and excessive shipping on bought goods and no one bats an eye. I am sure the Canadian tax authorities hate it, but they advertise openly.

I know people are going to jump on this as working the system, but as I consider sales tax on used goods a sham in excess of skipping tax on on those goods...I couldn't care less.

I'm a Canadian using one of those PO boxes to save on the cost of shipping, but I can assure you that I still pay taxes on every item that is purchased. Items still go through the regular import process and taxes are calculated which I am responsible for.

The only real benefit is that the actual cost of shipping is lower - which is still great as I'm probably paying a third of what I used to haha.

[Rhotchkiss]

Originally Posted by ramram

With the windfall that the states will be receiving as this internet tax net grows wider even beyond ebay, I wonder if they'll reduce the tax rates?

Rob M

Rob, of course they will Not. They will just spend more. Many states are already in dire straits (see Illinois), and very fiscally responsible states like California (sarcasm) have vowed to provide global health care to all, including “non citizens”. Most Politicians are morons and they would rather pass laws and spend money than pay down debt and unfunded obligations. It’s like giving a 10 year old a $1000 - you’ll get a bunch of candy and Fortnite skins!

[frankbmd]

Originally Posted by Rhotchkiss

Rob, of course they will Not. They will just spend more. Many states are already in dire straits (see Illinois), and very fiscally responsible states like California (sarcasm) have vowed to provide global health care to all, including “non citizens”. Most Politicians are morons and they would rather pass laws and spend money than pay down debt and unfunded obligations. It’s like giving a 10 year old a $1000 - you’ll get a bunch of candy and Fortnite skins!

Ryan, you got me. Until I looked it up, I assumed Fortnite skins referred to a condom that lasted two weeks.

[Rhotchkiss]

Originally Posted by frankbmd

Ryan, you got me. Until I looked it up, I assumed Fortnite skins referred to a condom that lasted two weeks.

That’s classic Frank! I have 3 boys (15, 13, and 10) and Fortnite is bigger to these kids than cards are to us cardboard nuts. I have grow to hate Fortnite, especially when my kids fight me over spending $$ on Fortnite skins. If the states were smart, they would tax Fortnite - I don’t think internet purchases of games that are streamed, or the intangibles purchased on those games (like skins, virtual weapon, extra lives, etc) are taxable yet.