Green Tractor Talk banner

1 - 18 of 18 Posts

·
Registered
Joined
·
1,564 Posts
Discussion Starter #1
I recently purchased some dvds & a ebook in 2 transactions on Ebay. When going over my paypal account, I discovered 2 small Ebay fees on these two transactions. The fees were $.14 on the ebook & $.42 on the DVDs. There was no explanation on what the fees were for. It just states that the fees were part of the original transaction. There is nothing about these fees on the original transaction print out. Anyone else run into this?
 

·
Registered
Joined
·
2,177 Posts
I bought a power jack / jumper for my laptop on 8/2 and the only charge to my paypal account was the price of the item. No other charges show up on my account.
 

·
Registered
Joined
·
270 Posts
I've had the fees show up too. I think PayPal used to be a part of eBay, then they separated. Maybe there were hard feelings? In any case, we all know who ends up paying for it.
 

·
Registered
Joined
·
21,213 Posts
It may be the difference of using a credit card vs. having it come directly out of your bank account.

I know when you send money to a private party like with friends and family you will be charged the PayPal fee if you use a credit card.
 

·
Super Moderator
Joined
·
4,847 Posts
Did the fee amounts happen to total up to 2.7% of each transaction amount?
 

·
Premium Member
Joined
·
10,717 Posts
eBay recently started collecting "SALES TAX" for each state,,

check the amount, and see if it is not the % your state charges for sales tax,,, :nunu:
Is that only for the "stores" on Ebay selling new items or everyone? I mean, if an individual is selling a used item on Ebay I wouldn't think the buyer would be required to pay sales tax.
 

·
Registered
Joined
·
8,514 Posts
Is that only for the "stores" on Ebay selling new items or everyone? I mean, if an individual is selling a used item on Ebay I wouldn't think the buyer would be required to pay sales tax.
Used items are subject to sales tax in my state, but eBay doesn’t collect it.
 

·
Registered
Joined
·
1,660 Posts
So what do the gangsters in the banking oversight committee in DC have to say about it. Businesses just can't nail a charge on you unexplained. Even if it were for a penny, I would go ask them to "Show me" how & why. I just had an incident with American Express on an interest charge. It was for just .32 cents. I called them & it took a supervisor to get me an answer from there accounting dept. I was ok with their explaining it. But the point being if they could not explain it, I would not have agreed to pay it. Screw them.
 

·
Registered
Joined
·
1,973 Posts
The previous responses here are on tract I think. Either sales tax or PP tied Cc fees.

Instead of looking at PP for charge explanation (they’ll only report what they are given) check your eBay account, not the transaction statement, but your actual account register on eBay-it should list all fees, for items and incidentals.
 

·
Premium Member
Joined
·
10,717 Posts
Used items are subject to sales tax in my state, but eBay doesn’t collect it.
So if you sell someone a used set of tires on Craigslist you are expected to collect state sales tax???
 

·
Registered
Joined
·
8,514 Posts
So if you sell someone a used set of tires on Craigslist you are expected to collect state sales tax???
No, the buyer is at the end of the year. I just click the box for average amount due for untaxed items used, online or bought in tax free new Hampsire. It costs me about $40 which was low before amazon started collecting tax, now it’s probably about right. You can also itemize them. I don’t want to do that work, or risk having to prove I was accurate so I do with the flat rate.
 

·
Registered
Joined
·
1,690 Posts
There was a Supreme Court decision last summer (South Dakota v Wayfair, I believe) that now allows states to mandate sales tax be collected from out of state merchants. I didn't read the decision, but it sure sounded contrary to past decisions. In my opinion, it is unconstitutional as the Constitution specifically limits the regulation of interstate commerce to the Feds. Years ago, the MN Dept of Revenue had struck deals with other states for reciprocating sales tax. The other states would pass laws requiring their merchants to collect other states sales tax. This was over turned by the court.

This Wayfair decision essentially requires out of state merchants to collect another state's sales tax, with some dollar limits. For example, an out of state merchant with annual sales in the state of MN less than $10,000.00 does not have collect MN sales tax. So if a private party sells you an item on ebay and their sales volume in the state is projected as being less than $10K, they don't collect the tax. Understandably, as ebay is required to collect the tax and if they fail to do so, they pay it, they're going to error on the side of caution.

Prior to the Supreme Court decision last summer a business, such as Amazon, was only required to collect MN sales tax if they had a physical presence in the state. So for years, Amazon purchases were not subject to sales tax---much to the dismay of our Democrat legislators. They then put a distribution center in MN and anything sold by Amazon was taxed, but not if it was sold by out of state third party Amazon sellers. That changed with the Supreme court decision last summer. Now those sales are taxed as well.

It appears ebay is still struggling on how to implement sales tax collections. Here in MN, local political subdivisions were recently allowed to implement local sales tax, as well. The rates very and often there will be multiple political subdivisions that have their hands in your pocket. There simply isn't a software sales/accounting package I know of that can address them all. As a business owner, you adpoted a worst case tax application in the hope you cover yourself, but even that is not fool proof. so you pray you are never audited for sales tax. I've know a number of good businesses that made honest errors in what they taxed. I agreed with what they were taxing and not taxing, but MN Revenue did not. They take everything thing they can attach and they don't care if they put you out of business and your employees become unemployed.
 

·
Registered
Joined
·
1,973 Posts
So if you sell someone a used set of tires on Craigslist you are expected to collect state sales tax???
Depends on the state and the applicable laws. IIRC Michigan expects that the tax be paid to them, typically by the buyer.
 

·
Registered
Joined
·
1,564 Posts
Discussion Starter #16
thanks to everyone for the replies. After doing some digging, I found that the fees were sales tax. I have been being charged sales tax for some time on Ebay purchases. This is the first time I have seem them as a separate fee.
 

·
Registered
Joined
·
8,514 Posts
Previously online retailers required a physical presence in states where the buyer was to require that. SCOTUS did allow states to change that if the state wanted the seller to collect it without a physical location. Amazon collects sales tax for every state weather there’s state law requirements or not. Atleast when they started collecting Maine tax it was ahead of a law requiring it. I’m not sure if there is one now. I know it’s been debated off and on.
 

·
Premium Member
Joined
·
7,451 Posts
It may be the difference of using a credit card vs. having it come directly out of your bank account.

I know when you send money to a private party like with friends and family you will be charged the PayPal fee if you use a credit card.
You or receiving party?

No, the buyer is at the end of the year. I just click the box for average amount due for untaxed items used, online or bought in tax free new Hampsire. It costs me about $40 which was low before amazon started collecting tax, now it’s probably about right. You can also itemize them. I don’t want to do that work, or risk having to prove I was accurate so I do with the flat rate.
Same here in MI on the state tax return. There is a table based on income. I pay it just so no worries. I WONDER how many or what percent DO pay it? I am sure they will not tell us or more would not voluntary pay it.
 
1 - 18 of 18 Posts
Top