What do i do for "Sales Tax?"

[ambusheslol]

Hi i am new to eBay.  

So a buyer from the United States requested a payment total. What do i do for the Sales Tax option? By default it is set to "No Sales Tax" and from what i understand, i am not allowed to charge for sales tax.  

So what happens to the buyer? Does he not have to pay any tax on the purchase?  

Thank you kindly.  

[mr.elmwood]

No, the buyer does not pay any sales tax to anyone.

[rose-dee]

No, as 'Mr. Elmwood' says, in this situation (U.S. buyer/Canadian seller) the buyer does not have to pay you any sales tax upon purchase.  

It would be different if your business were located in the U.S. and of a size to be obligated to charge tax.  Just in case you encounter it, unless your gross income from your business exceeds $30,000 Cdn (I believe that's the figure), you don't have to charge Canadians any sales tax either, unless you prefer to register for a GST number. 

I'd say if you're thinking you'll be well under the $30K volume for a while, not to be concerned at all about sales tax.

You can register for GST (i.e. get a business number) later if you want to take advantage of the rebates, but that's really only worthwhile if your costs are high enough to justify the trouble. 

[reallynicestamps]

Do NOT attempt to charge sales tax of any sort to your customers unless YOU are registered to remit sales taxes.

Governments are touchy about that sort of thing.

If your customer is required to pay sales taxes to his own government, that is his responsibility. Not yours.