Entrepreneurship & Small Business

Did ebay seller notice ebay has been overcharging US buyers sales tax?

  • Last Updated:
  • May 14th, 2020 1:18 pm
[OP]
Newbie
Sep 1, 2016
30 posts
7 upvotes

Did ebay seller notice ebay has been overcharging US buyers sales tax?

I am a Canadian Ebay seller. I have noticed many times ebay has overcharged US customer's sales tax. I called the EBAY hotline and their explanation was it's automatic system, nothing they can do! If customer has complain, ask them to call hotline.
Also due to the high tax rate they charged, we as seller also have to pay additional paypal fees for the tax they collected.

Below is an invoice from a SC customer, according to their state tax rate, it should be 9% and total tax should be $2.74, not $5.66
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Last edited by jenniferz on May 14th, 2020 1:16 pm, edited 1 time in total.
2 replies
Member
User avatar
Sep 16, 2015
342 posts
708 upvotes
Calgary, AB
jenniferz wrote: Below is an invoice from a CA customer, according to their state tax rate, it should be 9% and total tax should be $2.74, not $5.66
Your screenshot shows South Carolina, not California. I suspect the customer's registered home address is in SC, but the shipping address is CA (maybe they're attending school or moved without updating their account).
[OP]
Newbie
Sep 1, 2016
30 posts
7 upvotes
Thank you for the reply! my error, I typed wrong, it's SC, not CA, the tax rate is 9% but Ebay still charged customer twice the tax.

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