Collecting Sales Tax

Up to this point I have not been charging sales tax on my ebay sales.  At the end of every month I download all my transactions and break them down by province and calculate what is owed to each.  I have been eating the cost of the taxes.

This is a bit exhausting (well, annoying).  

I am thinking of charging the sales tax through Ebay on my transactions.  I am curious how this works on the reporting side.  Do you get a report of all the sales tax collected by province, or are you still stuck manually calculating it.  

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Re: Collecting Sales Tax

I use third-party tools to manage all my eBay business, iot includes a built-in Sales Tax report so it's pretty easy for me.

 

That said you can run the eBay transaction report which will give you a breakdown of Seller collected sales tax (GST/HST) by Province so it is pretty easy to get the  info needed for filing your quarterly (I'll assume your doing quarterly reporting to CRA) Federal returns and/or Provincial returns.

 

FYI - I have always charged GST/HST to Canadian buyers, only once that I recall that a buyer got cranky "only a real business can collect tax", other buyers probably grumble a bit but of course charging taxes as an add on only affects Canadian Buyers (My sales to Canadians is still small althougth it's MUCH bigger than  it was 10 - 20 years ago.

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.

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Re: Collecting Sales Tax

Are you registered to collect and remit sales taxes?

If you are not DON'T!

Revenue Canada gets touchy about that.

 

Added because these Boards are read by a lot of newbies who may not understand the problem probably does not apply to them.

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Re: Collecting Sales Tax

Yes I am registered, and I am registered with the provinces that have PST.  

 

 

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Re: Collecting Sales Tax

Let me add, I did not do this voluntarily.  I am required by law due to the level of my sales, to remit.  Yes, I have sales outside of eBay that push me well over the limit to avoid sales taxes.

Any tips or advice on the eBay sales tax program would be greatly appreciated.

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Re: Collecting Sales Tax

I use third-party tools to manage all my eBay business, iot includes a built-in Sales Tax report so it's pretty easy for me.

 

That said you can run the eBay transaction report which will give you a breakdown of Seller collected sales tax (GST/HST) by Province so it is pretty easy to get the  info needed for filing your quarterly (I'll assume your doing quarterly reporting to CRA) Federal returns and/or Provincial returns.

 

FYI - I have always charged GST/HST to Canadian buyers, only once that I recall that a buyer got cranky "only a real business can collect tax", other buyers probably grumble a bit but of course charging taxes as an add on only affects Canadian Buyers (My sales to Canadians is still small althougth it's MUCH bigger than  it was 10 - 20 years ago.

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.
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Re: Collecting Sales Tax

You set up a sales tax chart in your settings with the different percentage for each province. You will have to bulk end all your listings, and bulk re-list them. Otherwise, they won't update to use your tax chart. 

 

If you go to your My Ebay page, and click on the Performance tab, and then go to the sales section, you can see all your taxes collected for the entire year. There will be a drop down bar under Sales: where you can change it from the past 31 days, to the past year, and then click generate report. It will show total taxes collected by seller. 

 

Keep in mind, if you are collecting provincial taxes and not HST, it won't designate between those. Only the total amount you have collected. 

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Do you have to bulk end all and relist? I thought just revising listings in bulk with a change was enough. A simple change like change your location to the exact same location. No real change but a change as far as the bulk editor is concerned.
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Re: Collecting Sales Tax

On the Tax Table page it says this.

 

These changes will apply to your new, relisted and revised listings only.

 

To me that means GTC listings when they auto-renew or any listing you make a revision to after you make a change to the Tax Table.

 

Easy enough to check, revise the tax table and then revise a listing and see if the tax message changes to "Seller charges sales tax in multiple provinces.".

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.
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Re: Collecting Sales Tax

Find a competent Account with reasonable rates and someone that is comfortable dealing with the CRA just to be safe.  You sign them up to speak on your behalf, like a lawyer.

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Re: Collecting Sales Tax

Wait a minute this makes no sense. Why would i meed to charge taxes of items i didn't like and bought myself and want to get rid of?!?!?!?!?!?! What the hell ?! That's all i use ebay for. Isn't there like a 80k minimum.per year of sales needed before even asking for those?

Why would i file up a CRA bull#### form to sale something i own and paid and got already taxed twice?! Why should i be in the losing end
Those liberals really turning this into CUBA.
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Re: Collecting Sales Tax

@lemayhobby 

 

ZOMBIE THREAD from 2021, in light of todays notification from eBay

 

EVERTHING IN THIS THREAD IS NO LONGER VALID!!!!!!!!!!!!

 

if you want to post about the current situation try here:

 

https://community.ebay.ca/t5/Seller-Central/eBay-Canada-collecting-Canadian-Sales-Tax-as-of-July-1-2...

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.
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Re: Collecting Sales Tax

@kh-leslie 

 

ZOMBIE THREAD

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