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Replies: 26 / Views: 3,711 |
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Valued Member
United States
292 Posts |
If this is not the correct area, please change. I just won an auction on ebay from an in state seller. When I went to pay, sales tax was added to the total. Arizona does not charge sales tax on coin sales. Did ebay automatically do this or did the seller do it? Who do I contact and how do I get this removed? Thanks! *** Moved by Staff to a more appropriate forum. ***
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Pillar of the Community
Canada
4944 Posts |
Contact the Seller. They are the ones who added the tax to the listing.
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Valued Member
 United States
292 Posts |
Quote: Contact the Seller. They are the ones who added the tax to the listing.
Thank you. Will do. Never had this happen before. Wonder what is going to happen to ebay auctions when/if they pass this Internet sales tax law.
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Bedrock of the Community
13014 Posts |
Theres a decent chance ebay will end up getting sued by the feds. They claim its not their problem and are only an intermediary where the sale is between the two parties. I dont think they report to the IRS either.
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Valued Member
 United States
292 Posts |
Update: Seller has sent another invoice without the sales tax, and I paid immediately. Whew! Not looking forward to having to factor in sales tax as well postage when bidding. Seems to me ebay would welcome charging sales tax: They could include it in the final value fee as they now do shipping charges and gather in even more profits.
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Bedrock of the Community
13014 Posts |
Theyre completely against sales tax, having to include it takes away one of their edges over online purchases for a lot of the categories. Buying online is easy and great having it delivered but if stores become cheaper again more people will go back to doing that especially when they have a lot to buy
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Valued Member
United States
410 Posts |
ebay does report to the IRS if you have $20,000 or more in gross sales OR sell 200 items or more. If you meet either of those criteria you will get a 1099-K and your sales will be report to the IRS. I have no problem with requiring businesses to collect sales tax on internet sales. I do have a problem with how they are setting it up. Sales tax should be set up based on where the seller is located not the buyer. If it is based on the sellers location a small business only has to collect taxes and pay their city, county, and state. If it is based on where the buyer is located a small business will have to collect taxes and send payment to tens, hundreds, or thousands of governments all on a monthly basis.
Edited by JSH 05/09/2013 10:16 pm
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Moderator
 United States
23522 Posts |
Quote: Sales tax should be set up based on where the seller is located not the buyer. The 5 states without sales tax would love that, too, as online retailers will flood them with warehouse locations to take advantage of the price break for their customers. States with sales tax, though, won't much care for it. States with the highest sales taxes would lose a lot of businesses.
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Pillar of the Community
United States
1391 Posts |
"States with the highest sales taxes would lose a lot of businesses."
Yup, that is the way a Federal Republic should work.
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Forum Dad
 United States
24192 Posts |
Quote:There's a decent chance ebay will end up getting sued by the feds. They claim its not their problem and are only an intermediary where the sale is between the two parties. And they're right. They don't sell anything to the buyers. ebay's product is the seller fees. If ebay is ever required to collect sales tax it won't be on seller's sales it will be on the seller fees.
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Bedrock of the Community
13014 Posts |
Bobby I dont disagree with their position they technically arent selling anything. I do think if the law went though that ebay streamlining the process would be nice for sellers, however I suspect their resistance towards doing so is nothing more than they dont like the law and if people want to ignore the law keeping sales going they wont do anything to help the feds out. Just like file sharing they know the Feds cant and wont go after every single seller. Quote: Ebay does report to the IRS if you have $20,000 or more in gross sales OR sell 200 items or more. Really? Wasnt aware of that, I can see the $20k thing the 200 sales seems a bit arbitrary though
Edited by basebal21 05/10/2013 12:48 am
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Moderator
 United States
23522 Posts |
Quote:I do think if the law went though that ebay streamlining the process would be nice for sellers, however I suspect their resistance towards doing so is nothing more than they dont like the law and if people want to ignore the law keeping sales going they wont do anything to help the feds out. I'm thinking their opposition is based on the nightmare complexity of varying rates within states and categories of what is and isn't taxed. Not to mention, the new law exempts any business with sales of less than $1 million, and I kind of doubt there are many qualifying businesses affiliated with ebay. And further, I wonder if they think that would break the veil of "non-involvement."
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Bedrock of the Community
13014 Posts |
Im sure theres more to it than just their opposition, I get the impression though even if it would be quite easy they still would do everything they can not to help out.
I mean it cant be that hard to run a search for whose sold over 1 million, or pre program state sales tax and have it applied to the sellers entered zip code. Of course that wouldnt prevent anyone from putting a fake one in.
Some sellers already do it on their own which can be an unpleasant surprise during checkout. I got hit by one that went from a good deal to oh man I could have gotten it cheaper.
The non-involvement is a good excuse to try and stay out of it. Though isn't buyer protection and intervening during problems a violation of non-involvement as well? To me that seems like that could create problems if they didnt implement a system because of non-involvement and the feds pursued them for it. Seems a little hard to claim you dont get involved when they do get involved in a very big way when necessary
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Rest in Peace
United States
2668 Posts |
Here a tax, there a tax, everywhere a tax tax.
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Bedrock of the Community
United States
10982 Posts |
Quote: Ebay does report to the IRS if you have $20,000 or more in gross sales OR sell 200 items or more. If you meet either of those criteria you will get a 1099-K and your sales will be report to the IRS. I thought the threshold was $10k?  Can we confirm that it is $20k or 200 items? Thanks!
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Pillar of the Community
United States
2335 Posts |
I was under the impression that the threshold for getting a 10-99 was $20K AND minimum of 200 sales. Under current tax law you still owe tax if you are below the minimum.
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Replies: 26 / Views: 3,711 |