How are eBay and PayPal fees calculate?

Let's say I sell an item for $10. I charge an extra 13% for hst. Total comes to $11.30. Does PayPal and eBay take into consideration the $10 or the $11.30? Fyi, I do not include the hst in the price. The seller sees the hst once they do the checkout. 

 

 

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How are eBay and PayPal fees calculate?

Are you registered with GST/HST?  Only sellers registered to collect/remit tax are allowed by law collect it.

 

eBay charges its fee on the transaction amount - NOT including taxes (if applicable)

 

PayPal charges its fee on the transaction amount - all included.

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How are eBay and PayPal fees calculate?

Thank you. Yes I am registered with hst.

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How are eBay and PayPal fees calculate?


@torontonian wrote:

Let's say I sell an item for $10. I charge an extra 13% for hst. Total comes to $11.30. Does PayPal and eBay take into consideration the $10 or the $11.30? Fyi, I do not include the hst in the price. The seller sees the hst once they do the checkout. 


Paypal fees are on the total amount handled (a straight financial processing fee).

 

-..-

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How are eBay and PayPal fees calculate?

torontonian - looking at your recent listings, as a new seller it is quite obvious that you need help.

 

Please consult your accountant on the rate of tax (GST or HST) you should charge and remit for sale of taxable products within Canada.  Your listings have the wrong information if goods are shipped from Ontario as stated in your listings.

 

CRA advises:  http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/gnrl/stps/cllct-eng.html

 

"The following are current rates as of October 1, 2016:

  • 5% in Alberta, British Columbia, Manitoba, Northwest Territories, Nunavut, Quebec, Saskatchewan, and Yukon
  • 13 % in Ontario
  • 15% in New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island"

Also, giving tax information in your listing will not automatically add the tax at time of invoicing the Canadian buyer, should you ever get one.  You need to fill the tax table.

 

For more information:  http://pages.ebay.ca/help/pay/checkout-tax-table.html

 

Also, looking at some of your items, you are competing with your own supplier and your prices on eBay are almost twice what your supplier charges the public through other online venues.  That is not how to start an online business.

 

Finally, by not offering to ship to the USA, thousands of Canadian buyers shopping on eBay.com will never see your listings.  Only items offering shipping to the USA and specifying a shipping charge to the USA are visible to viewers on eBay.com.

 

I could keep on going but... you get the point.

 

Good Luck

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How are eBay and PayPal fees calculate?

In addition, checking your listing for the BBQ brush, you state country of manufacture as "Canada".

 

Are you sure?

 

The Durano Group who markets that product states on their website: "We are an international import trading company based out of Toronto, Ontario in Canada. We specialize in managing the logistics, customs and product sourcing of high quality products into Canada."

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