Sales tax will be charged on eBay fees.

Not the best thing charging sales tax but as said somewhere else inevitable. My question would be - I am an Ontario resident and taxes are 13%. What if I sell to a resident of another province where the sales tax rate is either higher or lower. Do I get charged based on that tax rate?  Or 13%?

Would like to know from eBay Canada about this.

 

I do think that charging a fee for shipping is absurd. It's hard enough selling with the rates to International without eBay taking another cut. 

 

Thanks

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Answers (6)

Answers (6)


@nemesis_is wrote:
... I do think that charging a fee for shipping is absurd. It's hard enough selling with the rates to International without eBay taking another cut.

Final Value Fees on Shipping:

 

If you list on eBay.ca and an international buyer purchases your item, your final value fee for shipping is calculated using whichever service is less expensive, either:

 

* The first domestic service in your listing that isn't express, or

* Your international or express shipping service

 

For example, if a buyer chooses international shipping and you specified free shipping as your first domestic option on your eBay.ca listing, you don't pay any final value fees on shipping charges for that item.

 

http://pages.ebay.ca/help/sell/insertion-fee.html


@nemesis_is wrote:

... My question would be - I am an Ontario resident and taxes are 13%. What if I sell to a resident of another province where the sales tax rate is either higher or lower. Do I get charged based on that tax rate?  Or 13%?


Starting July 1 you get charged sales tax on your monthly eBay invoice of eBay fees. The only tax rate involved is with the eBay invoice -- nothing to do with any sales tax you might collect.

 

...

 

http://pages.ebay.ca/help/sell/fees.html

The Final Value Fee (FVF) that eBay charges does not apply to any Sales tax that the seller collects.

 

-..-

Yes sales tax will be calculated based on your location and provincial regulations. For me this is the last straw. My sales have dropped from $500 per month to around $75 just by changing to CAD. In search for lowest price first, we show high due to the exchange so we end up way down the list if at all. Time to find another venue for me. Im a bit sad since Ive been here since 04 but oh well time for change


@nemesis_is wrote:

Not the best thing charging sales tax but as said somewhere else inevitable. My question would be - I am an Ontario resident and taxes are 13%. What if I sell to a resident of another province where the sales tax rate is either higher or lower. Do I get charged based on that tax rate?  Or 13%?

Would like to know from eBay Canada about this.

 

I do think that charging a fee for shipping is absurd. It's hard enough selling with the rates to International without eBay taking another cut. 

 

Thanks

i am thinking ebay better fix there act or loose sellers and buyers,either get rid of the shipping at 10 per cent,or cut the final value fees,and then tax all this,talk about get your cake and eat it too.

 

mcrlmn
Community Member

It's been a year, so I assume you've satisfied your queries.

and you specified free shipping as your first domestic option

 

Ummm yes. Technically.

 

But Free Shipping is adspeak for 'shipping cost included in asking price'.

So we still pay the GST/PST/HST  on the raised cost of the item.

 

Which is cheaper a $5 item with $1 shipping or a $6 item with Free Shipping?

The OP in Ontario paying 13% on fees, pays 78 cents in either case.