Effective today, 11 more states are requiring the collection of internet sales taxes bringing the total to 34 states that require this. My sister was kind of happy about it because she works in retail and thinks it might help sales in her store. However, we live in Kansas, and Kansas is still one of 16 states not requiring us to pay sales tax for purchases on eBay
This certainly isn’t going to help ebay sales in general. If you are a seller listing a $1000 item, that item for most buyers just became a $1080 item if the sales tax is 8%. This is probably not a good thing for people selling high-priced autographs.
Thoughts on this subject?
In NJ it’s just as bad and absolutely effects the way I bid or not bid on EBay.
I even hardly bid in RR auctions , if you win it’s 32%, 25% buyers fee and. 7% tax
auction houses have to be hurting, if they were smart they would lower their buyers premium to compensate for the tax , I know allot of people who just gave up bidding or just give token bids because of the high BP + sales tax
Here's one way to beat them at their own game. Make a private deal with the seller to pay ONLY via Paypal goods and services so both parties are protected. You'll save the taxes and the seller will save the 10% eBay fee. I know eBay HATES this and tries to prevent it -- but legally there is nothing they can do.
That's getting so harder and so much stuff I buy comes damaged I perfer using Ebay they have extra protection. I get like 4 damaged items a week
What about the internet sales tax? Will PayPal calculate that and charge the buyer?
No sales tax on PayPal direct purchases
Wow. That’s a game changer. Or might it be as a seller, you’ll get slapped with a big sales tax bill later on from the gov?
I’ve done it probably three times over the years on higher priced items. It’s hard to feel guilty because I know I’ve made ebay plenty of money over the years. Ebay won’t allow contact information to be exchanged like phone numbers or email addresses. So you’ve got to be creative in sending information between each other.
Agreed, that’s the best route , but eBay makes it impossible to get the sellers information
Nothing is impossible, it just takes a little creativity. I have taken a number of sales off eBay, particularly when I am contacted directly by a potential buyer.
For those interested, here is a link to the page that lists what states eBay collects tax for. You need to scroll down the page a little: https://www.ebay.com/help/buying/paying-items/paying-tax-ebay-purch...
They make it really hard to find.
As a buyer, it may be worthwhile to make an offer at a ten percent discount in order to absorb the cost of the additional tax.
I think variety is the answer. I do not just sell autographs. I sell more books and art than I do autographs. As a customer I get annoyed with Amazon, they charge me Vermont and Connecticut sales tax. I reside in CT. nine months, so CT would be my primary residence. My health has been an issue, so at some point I will leave CT. In Connecticut they tax everything.