Question about eBay tax collecting

MCMLVTopps

I think this is correct...

When a purchase is made on eBay, they are required to collect a Federal tax for the sale. The sale amount appears to be calculated based on the purchaser's zip code to determine the percentile...is that correct?

I have made eBay purchases where the seller does not show a tax collected. We happen to be in the same state, but that's the only difference I can figure out.

Anyone know what the exact procedure is in the tax collection thing with eBay?

jay0791

It is not a federal tax but a state sales tax.
This is based on the actual county you live in and determined by zip code.
This is automatically added to invoice and taken care of by Ebay not the seller.
If it is not then there is a mistake unless you have a tax exempt number on file with ebay.
Be sure to check your account to see if it gets added in later.

MCMLVTopps

Tks, my error on the Fed vs state...of course its state tax.