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eBay Internet Collected Tax?
Broadstruck
Posts: 30,497 ✭✭✭✭✭
So it seems they are not just charging tax on the item, but also the shipping charge.
Is this legit tax on postage?
To Err Is Human.... To Collect Err's Is Just Too Much Darn Tootin Fun!
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Let me tell you how it will be
There's one for you, nineteen for me
'Cause I'm the taxman, yeah, I'm the taxman
Should five per cent appear too small
Be thankful I don't take it all
'Cause I'm the taxman, yeah I'm the taxman
If you drive a car, I'll tax the street,
If you try to sit, I'll tax your seat.
If you get too cold I'll tax the heat,
If you take a walk, I'll tax your feet.
I am thinking your words are clever, then, I remember it is a Beatles song.
Sales tax on shipping postage is governed by State law.
Thanks will google that $#!+ now.
I've never been charged ST at the PO so I expect maybe eBay has not yet figgered out how break it out or just collects ST on the total amount out of ignorance or convenience.
Made another purchase and just got taxed buying from Taiwan... Really?
Si
First one up.
Accuracy of the information in the link is unknown. Best to check recipient’s State’s taxing authority, especially, if one lives in a State that incorporates the “internet” sales tax.
https://www.avalara.com/us/en/blog/2018/11/how-to-handle-sales-tax-on-shipping-a-state-by-state-guide.html
Yes. States tax shipping and handling for the same reason ebay puts FVF on it: so you can't evade fees by selling everything for 99 cents + $100 shipping
Postage is not taxable at the post office. Maybe because it is federal. Shipping and handling charges are taxable in most states. Definitely NY
For the internet taxes, it depends on where YOU are, not the seller.
I am surprised no governmental entities have yet imposed a tax on the taxes paid....
Though, in reality, they do... income is taxed, and then when you spend it, you are taxed again... 
Cheers, RickO
Does PayPal also collect ST for transactions that don't involve eBay?
Illinois doesn't collect tax on coins but I bought a baseball card few days ago and eBay didn't add tax even though I would have had to pay if I bought it here.
No. PayPal is a credit card clearing house not a marketplace.
IRS refers to them as a "payment processor," and as such they are required to file 1099's over a certain threshold.
As mentioned above, if ebay did not charge sales tax on shipping things would sell for $1 with $50 shipping. This would cut ebay out of FVF.
No Way Out: Stimulus and Money Printing Are the Only Path Left
Illinois is NOT one of the states that eBay is currently collecting taxes for. Apparently they have not yet passed an Internet Tax law.
That is correct. But that's why they don't ever "collect" sales tax. They take in my payments with the sales tax included (when applicable) but they aren't required to add it, unlike eBay which is.
one facilitates sales, the other facilitates payments.
No Way Out: Stimulus and Money Printing Are the Only Path Left