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EBay "Shipping" Tax

#eBayPartner    Most Recent BUY IT NOW Items Listed on eBay
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Coyote

Finally riding a big boys bike
I just noticed that when you purchase something on EBay, not only do you pay tax (depending on State, I presume)
on the Item, but also on the Shipping cost. Is that legit?
I don't recall ever paying taxes on mailing of merchandise from an online store to me as "part of the purchase price".

In fact, I question as to whether EBay actually remits this "tax" to the requisite State or just pockets it.

I know that some sellers have in the past made the Buy-It-Now ridiculously low to avoid tax and then made up for it
on higher-than-actual shipping costs, so that may factor into this issue.
 
Since Britain exited the European Union (Brexit), we now have to pay 20% (Value Added Tax) on everything coming into the country, even if it's a gift!
If you go over a value of £139gbp then you are then hit also by British customs duties, calculated on the value of the item and the shipping costs. This varies from item to item and is calculated by HMRC (Her Majesties Revenue & Customs; equivalent to your IRS).
The UK postal service then also charges you a handling charge for advising you of all the other charges!
Having just personally imported a 1930's bike from Italy last week it's a frighteningly wallet lightening experience!!!!
 
Is it a tax or a “fee”.
For a long time, eBay was on to the scam about sellers marking down prices and then marking up shipping and handling by an equal amount, in order to reduce the eBay fees. Solution — apply the fees to the total transaction amount, including shipping.

If it’s actually “taxing” of shipping services, then that would be different.

Normally, states and local governments do not tax the USPS, and competing parcel delivery companies would include any federal, state or local (point of departure) taxes due within their own prices.

Not sure if any outfit collects a “Receiving” tax when the source and destination are different states.

What might be next, a pass-through tax(?); because your packages passed through some several states without you paying “your fair-share”.
 
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Yea that is correct. In the olden days a seller could list something with buy it now for .99 and charge for example 100.00 for shipping for a Schwinn sprocket therefore ebay would earn .09 at the end of the transaction and not the 10.00 which they would if the seller wasnt playing these silly games. It was so common place that they eventually had to stop it however they could including charging a tax on shipping which they never did get rid of even after this fad went away. Fun times.
 
Since Britain exited the European Union (Brexit), we now have to pay 20% (Value Added Tax) on everything coming into the country, even if it's a gift!
If you go over a value of £139gbp then you are then hit also by British customs duties, calculated on the value of the item and the shipping costs. This varies from item to item and is calculated by HMRC (Her Majesties Revenue & Customs; equivalent to your IRS).
The UK postal service then also charges you a handling charge for advising you of all the other charges!
Having just personally imported a 1930's bike from Italy last week it's a frighteningly wallet lightening experience!!!!
We get hooped in Canada as well. Taxes, duty, handling, on imports over ( it seems to vary) $20.00 or $50.00. Our dollar is only worth about .70 to the U.S. dollar ( usually less) and worse against the British pound.
 
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