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- This topic has 12 replies, 10 voices, and was last updated 7 years, 7 months ago by
Jay.
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09/14/2018 at 10:37 am #48729
Saw this on the Seller Hub today…
“As you may know, the Supreme Court ruled in favor of South Dakota in June 2018, which removed the requirement that certain retailers have a physical presence in a state in order for that state to impose sales tax obligations on these retailers.
Some states have extended the tax collection obligation to marketplaces. We believe this ruling is unfair to small businesses and will continue to call for greater simplicity. In the meantime, we’re working to find the best way to support our sellers.
What this means for eBay sellers: Regardless of where you’re physically located, if you sell to buyers in certain states, those states may require you to collect applicable taxes on your transactions.
Therefore, based on these new laws, we will calculate, collect, and remit sales tax for orders shipped to customers in the following states on the following schedule:
Washington—starting Jan 1, 2019
Pennsylvania— starting July 1, 2019
Oklahoma—starting July 1, 2019Once we start collecting tax in these states, you do not need to take any action. There are no extra charges or fees for this service. Prior to these dates, please continue to collect and remit tax in these states and comply with any other applicable requirements they impose.
There are no opt-outs for selling items into the states listed above, or out of eBay automatically collecting sales tax for items shipped to the states above.
Additional states will likely be added to the above list. Stay informed on the Help pages.
For more information on these new tax requirements, we recommend that you consult with your tax advisor. If you do not have a tax advisor, we’ve partnered with Avalara and TaxJar and they will have specific insights into the best course of action for you.
As always, thank you for selling on eBay.
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09/14/2018 at 11:22 am #48733
So, the folks from WA, PA, and OK have to adjust their listings with the change to eBay’s start in tax collection. I hope that eBay helps out with change because I can see a buyer either being double charged or not charged at all.
All in all, it’s a good thing. Right now, I collect and remit sales tax to NJ every quarter. If NJ ever ends up on eBay’s list for tax collection, then I would have to change my listings to stop.
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09/14/2018 at 1:07 pm #48735
Wow, that was fast.
I’m cool with it as long as:
–all eBay sellers are charged the tax (meaning no sellers can be exempt from charging the tax in the same circumstances)
–eBay handles collecting the tax and giving to the appropriate agencies.
–it doesnt affect our taxes.
–our process stays the exact same.-
This reply was modified 7 years, 8 months ago by
Jay.
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This reply was modified 7 years, 8 months ago by
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09/14/2018 at 3:24 pm #48745
Yeah, Amazon has been doing this for those states for several months now. Any sale that goes to that state gets charged the tax, no matter where the seller is from. I don’t think there’s a way any individual seller can exempt themselves out of it.
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09/15/2018 at 9:46 am #48762
I live in Oklahoma, so I guess this means that after June 30, 2019, I won’t have to file sales tax returns in OK because eBay will collect and remit the sales tax. Their statement “prior to these dates, please
- continue to collect and remit
tax in these states” implies that they will remit the tax.
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09/15/2018 at 10:05 am #48764
“There are no extra charges or fees for this service.” So at least eBay isn’t taking a percentage fee of the tax paid like it does on shipping.
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09/19/2018 at 12:40 pm #48926
Here is an update from the Ebay Main Street Government Relations on the Internet Sales Tax Developments.
Thought I would publish for those who did not sign up for the updates or sign Ebay’s petition.Important Internet Sales Tax Developments
Hi Michael,
As an eBay Main Street Member, you are probably well aware of the June US Supreme Court ruling on Internet sales tax that overturned the long-standing physical presence sales tax collection standard. Since the Supreme Court ruling, eBay has been pushing hard for a federal solution that provides a common-sense solution that protects small, Internet-enabled businesses. eBay seller and Small Business Ambassador Network member Chad White testified before Congress in support of these efforts.Last Friday, federal legislation was introduced that attempts to address the uncertainty caused by the Supreme Court ruling. Led by Representatives Jim Sensenbrenner, Anna Eshoo, Zoe Lofgren and Jeff Duncan, this bipartisan solution aims to provide a clear and sensible framework for collecting sales taxes from remote businesses that sell online and would exempt small businesses until such a framework is in place. At the same time, eBay announced that it had collected over a million signatures from Americans like you in support of such legislation. Click here to read more.
Additionally, eBay posted this announcement to the Community Board last week that may be of interest to you if you sell on eBay. As eBay continues to advocate for a federal solution, this post outlines how eBay will handle the collection of sales tax for sales into several states that now have sales tax collection laws in place.
As always, we will continue to keep you informed as this issue evolves.
Sincerely,
The eBay Government Relations TeamMike at MDC Galleries and Fine Art in Atlanta
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09/20/2018 at 7:57 am #48956
You mean I, as a seller in the UK selling to the US have to pay a US tax? Well, no taxation without representation. I’ll be over to vote in 2020.
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09/20/2018 at 10:19 am #48958
Technically, the buyers are paying the sales tax; we as sellers just had to collect and remit that tax to the states (until Ebay stepped up to do it for us).
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09/20/2018 at 10:37 am #48961
I noticed that the 2 links included in that update sent to me are not working. But basically it takes you to a conversation held at Congress about the exemption of small business and setting standard policies and procedures. And that it seems that legislators are seeking at bottom cap that if you make less than 10 million [I belive] it said then the small businesses would be exempt.
So this is the most recent update, that congressmen are contemplating that cap and what it would be.
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09/20/2018 at 11:34 am #48965
Really hope that holds. I get states wanting to recoup some sales tax, but if they make it prohibitive for small business, they kill the Golden Goose…
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11/01/2018 at 4:12 pm #51084
I’m very concerned how it will affect legitimately licensed small business owners like myself who already collect and pay sales tax in one of the states that eBay is taking over collecting and submitting. I just submitted a tax question through WA state’s tax system. I got an automated response that I should receive a reply in 15 days. Sweet bureaucracy.
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11/01/2018 at 7:10 pm #51098
Everyone who sells online feels the same way. I heard there would be language that would only require tax collection for sellers over a certain sale threshold (like $1,00,000/yr). But I have no idea.
I feel they want to collect taxes from the big boys. Worrying about my 40 sales in Washington State each year might be more trouble than its worth.
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