Gov't is Making it Hard For The Little Guy Just Trying To Make Chump Change

matthewsx said:
So....

Try starting up a business where you are required to collect state sales tax, or local sales tax, or payroll tax for that matter. Pay monthly and get penalized if you don't get the right forms filed on time (or when they just don't open the envelope and record it). And then deal with them for years after you closed the business and moved out of state.

We all have to pay taxes on what we earn and what we spend in the US, some folks have it better than others sure but that's starting to get into politics which ain't allowed here.

Sounds like eBay is looking out for you with this one.


Just sayin'

John
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Understood. I was wrong. I apologize. I will try to delete that post. Sorry
 
Anyways, I think I will leave this posting as it is now, and move onto more positive stuff, like the game I plan on having here called, Name that Tool!
I have lots of mystery tools to share that I really Don't know what they are, and were bought from small "lots" from estate sales and such.
 
In Wisconsin, we are required to pay WI sales tax on any out of state purchase which have not been taxed at the point of sale. The state does not aggressively enforce that law but every Spring when we do our taxes, I total up the out of state purchases and we pay the the sale tax on that total along with our state income tax. Having eBay do the calculation and add the taxes at the time of sale will make my spring chore a little easier.

States have realized that out of state purchasing via mail telephone, or online was was depriving them of a vast amount of revenue. Their first proposition was that every seller would be required to collect sales tax on out of state sales and submit those collected taxes to the respective states. This would have created a nightmare for small entities in that they would have to track the sales tax laws of every state in which they had customers and submit the collected taxes to those states. It sounds like what is being put into practice is far less onerous.

On principle, I do object to the collection of sales tax on sales of items previously taxed. This reeks of double taxation to me. For items like vehicles, boats, and RV's that are registered it can't be avoided as you have to submit sales tax along with the registration application. So far, we haven't seen tax collectors at flea markets and ham fests but there is talk.
 
have your purchases sent to a friend in Oregon? Maybe Nevada?

I once got my house liened for payroll taxes. I had no employees one period, so didn’t fill out or turn in any paperwork. Turns out you have to submit a payroll report even if you don’t have any payroll. Who knew?

I sell stuff on ebay occasionally, haven’t run into sales tax yet, though. Or haven’t noticed. Maybe another lien coming?
 
Just a matter of time before it happens. Got word that it would happen eventually a few yrs ago. Amazon already had to make the change & went into effect for ebay for a number of states earlier this year.

I was ready for the internet sales tax to kick in today for my state on ebay. I made all my purchases for the things I had saved on ebay these past 2 weeks & made my final purchases yesterday. Saved quite bit of money so I'm happy about that at the least.
 
I don't like it, but I can live with Ebay collecting, and dispersing taxes. But how do I know other online places are actually forwarding the collected taxes to the correct state? When I lived in Pa, a sporting goods store was caught collecting tax on non taxed items, and not forwarding it to the state. States can audit stores, and hopefully catch such scams, But they have no way to audit online stores. I know I am a skeptic, but I see more fraud will happen, then taxes actually forwarded.

I also wonder how Ebay categorizes and collects the right tax. Its a mess for retail stores dealing with one tax. Unless they changed it, Pennsylvania taxed clothing used for sporting (hunting cloths, team stuff, golf shoes, ect), but not clothing for everyday use. So we were supposed to ask the costumer what they were going to use the camouflage shirt they are purchasing for, and ring it up accordingly. The store accountant raised a red flag, when the receipts were showing no cloths sold for sporting use. Similar thing for food. Then you have the farmers, and businesses that have tax ID numbers. And do not pay tax for certain items. I know it is because of the Supreme court ruling, but I think it will not be as simple as the court thinks. Every online store will have to update their sales programs to track whats taxable, and whats not for each state, and also which costumers fall under the tax exempt categories.
 
eeler1 said:
I sell stuff on ebay occasionally, haven’t run into sales tax yet, though. Or haven’t noticed. Maybe another lien coming?
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You won't see it in your sales. Ebay & Paypal will automatically collect the sales tax for those required & automatically submit them to the state. You'll still receive the amount that you are selling for.

If you use the Seller's Hub it's said that you can see the sales tax that have been collected for your sales when applicable. I don't use it so not sure where to look.
 
darkzero said:
You won't see it in your sales. Ebay & Paypal will automatically collect the sales tax for those required & automatically submit them to the state. You'll still receive the amount that you are selling for.

If you use the Seller's Hub it's said that you can see the sales tax that have been collected for your sales when applicable. I don't use it so not sure where to look.
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My 21 yr old daughter got in trouble with the City of San Francisco Treasurer and Tax Collector. Why? Because she opened up a herbal tea store on Etsy. She basically sold to a couple of customers per month homemade herbal tea flavors. She probably made less than $100 in a 6 month period. Anyways, because she opened up that store, ETSY REPORTED HER TO THE CITY OF SAN FRANCISCO. Then, we started getting lots of warning letters from the SF tax collector stating that she must file for a resellers permit. Ultimately, long story short, she decided to move to Atlanta GA since the cost of living was so low there, and she liked it there.
Then, the guy I've been dating is in trouble with the IRS because they claim he doesn't need to travel to his clients (all over the U.S.), which he actually must do, but they don't agree, so they claimed he under-reported earnings by including his travel expenses.
Ok, I said I was not posting anymore, but had to share that tidbit of my gov't experience.

Now moving on ;-)

Susan
 
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