# Illinois Sales  tax on Ebay



## Keith (Jul 28, 2011)

I just found out the hard way that if I buy anything in Illinois on Flea Bay I have to pay what must be near 10% sales tax, I just bought An ounce of silver for 42.05, which is already over spot, Then when paying my bill it added on 5 dollars for sales tax. so between shipping and the tax I ended up paying 50 bucs on something that is  spot valued today at less than 40.  Sure would hate to find that out after just paying like 800 bucs for a bike....that would be about 80 bucs tax.I think I'm done with e-bay.The last two antiques I bought were fake   one had a china sticker on the bubble wrap.Then they start charging me as a seller for the fee I had to charge for shipping,,,,,errrrrrr

Keith


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## Rust_Trader (Jul 28, 2011)

*Feebay*

Feebay charges for everything I think The Cabe should come up with like an auction site to sell vintage bicycles,cars,advertising or any transportation related items. I think this site is well known to be successful and take a big hit against feebay.


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## militarymonark (Jul 28, 2011)

we have a member that has a vintage bike auction site i think


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## SailorMac (Jul 28, 2011)

Yet another reason to continue my eBay boycott.


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## partsguy (Jul 28, 2011)

They get rich as they are. All they need to do is charge an annual membership fee for BUYERS AND SELLERS of about $20. With the high volume of traffic they get, they will have plenty of profit. Or charge like $1 as the total final value fee on any item. These value fees on shipping come from people charing too much on shipping. For example, a $100 item lised for $1, but with $99 shipping. This hurts the honest sellers like me or those who sell only occasionally (like me).

They have such high volume of traffic that they can charge ANYTHING and make a lot of profit.


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## abe lugo (Jul 28, 2011)

*ebay and amazon will...*

start charging tax to profesional sellers with ebay stores, if you got taxed from a small time seller, they might have a small store in that state.
Each stat is trying to make extra money by charging new internet taxes from online retailers .


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## Keith (Jul 28, 2011)

*My E-bay Rant Part two*

Well The seller told me she was surprised to see that i was charged tax???? Odd cause the seller sets the fee per E-bay phone call.Now after a very...oh lets say firm and to the point e-mail I sent the seller. They Realized that they should not have charged me tax on bullion....odd since she didn't even know she charged me sales tax in her 1st E-Mail, Now she is going to refund my tax, and I'm not gonna do business with her again. Its to bad cause I've had some positive deals  with E-bay. I e-mail quite a bit with a guy on the Outer Banks where I vacation. I will be finding out what the Tax Law is. After all it is Illinois ....we tax everything.     Keith


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## Aerocycle36 (Jul 28, 2011)

*Internet purchases*

Illinois did pass a law requiring Illinois residents to pay sales on internet purchases from businesses, no matter where the businesses  are located. but I don't know if that applies to purchases from private individuals, AND I don't know if that includes "over the telephone" purchases.  It just might but I've never heard that mentioned.


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## chitown (Jul 28, 2011)

*not sure bout dat*

10% seems a little high. I'd check into the laws but that would require less time researching cool old kids bikes.

My nightmare scenario is that the seller could collect and never report it to the state and it would be hard for the state to research and audit and know what taxes were paid by who. Does ebay monitor and report the tax???... not from what I understand about the new law. I believe it's up to the seller to collect and report tax collected.

Typical government passes law, doesn't know how to enforce or map out how it is to be implemented. Just... "It's on you, and if we audit you and find you cheating on this unclear, vague, unfair tax structure, we will prosecute you to the fullest extent of the law."

uuuuhhhhggggg....


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## Keith (Jul 28, 2011)

*e-bay Three*

I have been looking at some bike from a guy who does estates in Illinois,,, I just came and ask him if he charges sales tax to Illinois residents, I'll let ya know, Ebay and Pay pal both tell me they're outta the equation, its up to the seller to collect and pay the state, I knew a guy who ran a feed mill and collected sales tax,,problem is he didn't pass it on to the State of Illinois He wears  an orange jumpsuit now.....dont steel from the State of Illinois...well.. unless your the Gouvenor .
Nite Keith


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## kmrcdd (Jul 29, 2011)

Thanks guys for the great info. I was looking at a couple bikes from ILL. pun intended.....This might change my bidding. Between shipping, and now sales tax issues, these things are all piling up on the little guy. I just wrote a 4 figure check to my state for sales tax...Ugh... and Boner can't get support to put his foot down & cap the Gov credit card limit (although he's not much better than anyone else in politics)
Back to bikes - Great source of info for the Cabe readers...Thanks


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## sm2501 (Jul 29, 2011)

Ebay and Paypal have nothing to do with sales tax, it is entirely the seller. If the seller is a registered business that has a sales tax permit, they are required to collect sales tax from any buyer inside the same state as they are registered in. So if you live in Texas, as I do, and I make an ebay purchase from a seller inside of Texas, that is a business, they are required to charge me sales tax. If that same seller sells something to someone in another state, they can not charge sales tax. With that said, on your tax return, you are supposed to report any purchases that are made out of state, that you did not pay sales tax for. (cha, I see that happening).

Now, things are changing when it comes to the internet and sales tax. States are trying to figure out how to get some of this lost revenue back. California just passed a new law that is explained here-

http://articles.latimes.com/2011/jun/30/business/la-fi-amazon-tax-20110630

Bottom line is to read the auctions, see where their located, and under payment tabs see if they will be collecting sales tax.


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## sm2501 (Jul 29, 2011)

I just did a google search and see that Illinois has passed a similar law to California.

http://articles.chicagotribune.com/...-overstock-main-street-fairness-act-sales-tax


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## Larmo63 (Jul 29, 2011)

*Sales Tax*

I also occasionally sell on Ebay, mostly bike parts. I sell to all states, California included and internationally. I have never charged sales tax for anything, I don't feel that it is the government's business what I do with my own property. Good luck IRS on getting me to pay squat.


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## Keith (Jul 29, 2011)

*Illinois Internet sales tax and Fee Bay*

Thanks for getting in on this one, I respect your opinion., and love Your site. I think I'm about done with ebay, I may sell some pennies on there, I had been looking at a bike on there and thinking of shooting a best offer bid on it and have it picked up for me. Now I have to factor in 8% more because of the tax, which converts into about a 100 bucks, I'll have to think about it more. I stongly disagree with them charging me as a seller 3% on the honest shipping charges, I know why it is... he guy selling an item for a dollar. They need to go after the bad guy. I have a perfect rating and sometimes I had to eat some fecal matter to keep it.  any way this is America and we do still have free choice. I'm really happy I found this site.

Thanks Keith


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