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Discussion Starter #1
Happy New Year everyone.

I live in Washington state. Today I made my first Ebay purchase for the year and was charged sales tax, both for a purchase from a Maine Ebay seller and for another purchase from an Oklahoma Ebay seller. I knew immediately because the charge showed up in Ebay's Check Out screen. Interestingly, the seller doesn't see it, but when I logged into PayPal after completing the transaction, there it was...payment to the seller, and a separate sales tax payment to Ebay.

Here's how it's going to roll out this year for the first 8 states...

Effective January 1, 2019: Minnesota and Washington
Effective February 1, 2019: Iowa
Effective April 1, 2019: Connecticut
Effective May 1, 2019: New Jersey
Effective July 1, 2019: Alabama, Oklahoma, and Pennsylvania

Learn more here...

https://www.ebay.com/help/buying/paying-items/paying-tax-ebay-purchases?id=4771

and here...

https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121#section4

I thought I could avoid paying sales tax by making my second Ebay purchase from a small, low volume seller. Was charged sales tax in that case too. It appears that Ebay has no way of determining which sellers are below or above the threshold for collecting sales tax for Washington state.

Has anyone else here been impacted by this yet?
 

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Funny, but I'm your Oklahoma ebayer! (under a different name....) I too went looking to see why sales tax was taken for your transaction! It does appear that the big E is handling the tax so that I never have to see it/deal with it but I too was surprised.
 

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Happy New Year everyone.

I live in Washington state. Today I made my first Ebay purchase for the year and was charged sales tax, both for a purchase from a Maine Ebay seller and for another purchase from an Oklahoma Ebay seller. I knew immediately because the charge showed up in Ebay's Check Out screen. Interestingly, the seller doesn't see it, but when I logged into PayPal after completing the transaction, there it was...payment to the seller, and a separate sales tax payment to Ebay.

Here's how it's going to roll out this year for the first 8 states...

Effective January 1, 2019: Minnesota and Washington
Effective February 1, 2019: Iowa
Effective April 1, 2019: Connecticut
Effective May 1, 2019: New Jersey
Effective July 1, 2019: Alabama, Oklahoma, and Pennsylvania

Learn more here...

https://www.ebay.com/help/buying/paying-items/paying-tax-ebay-purchases?id=4771

and here...

https://www.ebay.com/help/selling/fees-credits-invoices/taxes-import-charges?id=4121#section4

I thought I could avoid paying sales tax by making my second Ebay purchase from a small, low volume seller. Was charged sales tax in that case too. It appears that Ebay has no way of determining which sellers are below or above the threshold for collecting sales tax for Washington state.

Has anyone else here been impacted by this yet?
Wow Thanks for the update! As a New Jersyan, I have 5 more months . Was wondering when they would start tapping online purchases. Turbo Tax has been asking me how many online purchases I make every year when I do my taxes, but I guess the State wants to make sure all are paying.. Revenue generation for the State at its finest
 

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Funny, but I'm your Oklahoma ebayer! (under a different name....) I too went looking to see why sales tax was taken for your transaction! It does appear that the big E is handling the tax so that I never have to see it/deal with it but I too was surprised.
Small world. [giggle]
 

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Wow Thanks for the update! As a New Jersyan, I have 5 more months . Was wondering when they would start tapping online purchases. Turbo Tax has been asking me how many online purchases I make every year when I do my taxes, but I guess the State wants to make sure all are paying.. Revenue generation for the State at its finest
Interesting. If I were an Ebay Seller, I can't imagine registering in all 50 states, so I think buyers are stuck with paying sales tax now with every purchase once all the states jump on board, and I'm sure they will.
 

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I guess it was bound to happen at some point. We live in a world of endless taxation. Think about it for moment, money is taxed in an endless loop. You earn your paycheck and taxes are taken out. You need a plumber to do some work in your house, so you pay the plumbing contractor for the repairs. The contractor gets taxed on that amount. He pays the plumber out of that money and it gets taxed again. The plumber needs some electrical work done so he hires an electrical contractor and pays him. The electrical contractor gets taxed on that amount and pays the electrician where it gets taxed again. Now the electrician needs some heating work done, well, you get the picture. It boggles the mind when you really think about it.
 

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grandma lise - I was looking at Ebay yesterday and put a few items on my "watch list". It will be interesting when I do order them if sales taxes will be applied. I will let you know.

Thanks for letting all of us know about this.
 

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Discussion Starter #8
ScareyCarrie, if your state is not one of the eight listed, I think you're okay for now. If I'd known, I would have made all my purchases in December!
 

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I live in Washington and we got notices that we are expected to pay sales tax on some of our online purchases from 2018. I haven't done it yet but it looks like a minor pain in the butt. I didn't know about the eBay changes (my husband does all the ebaying). I was going to list some books on Amazon but now they want you to get a business tax ID number so I put that on hold until I can research it. I guess the glory days of online selling are coming to an end.
 
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