eBAY OVERCHARGING FVF'S ON MY RECENT INVOICE - CHECK YOUS SO YOU DON'T GET RIPPED OFF

[dutchman48]

I just looked at my latest invoice and am being overcharged for FVF's.

I guess they are not happy getting what they can after raising everything and they hope we don't notice the slight overcharges.

Absolute crooks and should be reported to the authorities.

[dutchman48]

Maybe that is why there is a 43 minute wait to get through to Ebay

[pierrelebel]

" am being overcharged for FVF's"

Could you please provide a specific example of overcharging - including information on site where listed and currency used.

[dutchman48]

It appears they are adding tax to each final value fee separately which from what I understood, was not supposed to happen.

They give you a sort of summary but don`t think store fees are on the summary.

It is very hard to figure stuff out when doing currency conversions, then tax per item on shipping and ite FVF`s and the store tax.

Some shows on part of the invoice and other things show on different parts of the invoice but no where is there an easy snapshot.

FVF.s + store fee = total to be taxed X tax rate= total tax paid

[mrdutch1001]

Yes indeed, being charged tax on each individual FVF

[cumos55]

Here is a link to eBay's tax policy.....

http://pages.ebay.ca/help/account/tax-ov.html

The following is stated.......

If a Goods and Services Tax (GST), Value Added Tax (VAT) or similar consumption tax applies in your country of residence, eBay will add the tax as a separate charge on your seller invoice or include the tax in our fees as noted for each jurisdiction where eBay is required to collect such taxes.

It appears that eBay is charging the tax....  ...How?  .....appears to be a big question  ... and then how will I determine the Input Tax Credit  amount?

The next question is... Are they following the rules of the Canada Revenue Agency?

Is eBay listing eBay's business number on the invoice?

The easiest thing to do is for eBay to charge the tax as a separate charge... and  not include the tax in their fees..

Maybe we will have to "teach" eBay how it should be done.....

[femmefan1946]

EBay announced some weeks ago that they have finally agreed to charge and pay GST on our Final Value Fees.

This has been discussed at length. In fact, I seem to remember you participating in the discussions.

[dutchman48]

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@cumos55 wrote:

Here is a link to eBay's tax policy.....

http://pages.ebay.ca/help/account/tax-ov.html

The following is stated.......

If a Goods and Services Tax (GST), Value Added Tax (VAT) or similar consumption tax applies in your country of residence, eBay will add the tax as a separate charge on your seller invoice or include the tax in our fees as noted for each jurisdiction where eBay is required to collect such taxes.

It appears that eBay is charging the tax....  ...How?  .....appears to be a big question  ... and then how will I determine the Input Tax Credit  amount?

The next question is... Are they following the rules of the Canada Revenue Agency?

Is eBay listing eBay's business number on the invoice?

The easiest thing to do is for eBay to charge the tax as a separate charge... and  not include the tax in their fees..

Maybe we will have to "teach" eBay how it should be done.....

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This is what is posted on the invboice:

GST Registration Number: 87488 3325 RT0001
QST Registration Number: 1221899241 TQ0001

[dutchman48]

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@femmefan1946 wrote:

EBay announced some weeks ago that they have finally agreed to charge and pay GST on our Final Value Fees.

This has been discussed at length. In fact, I seem to remember you participating in the discussions.

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Not disputing the tax collection at all, just the way they are showing it on the invoice in some areas and not in others so almost impossible to figure out if accurate or not.

[ypdc_dennis]

After a brief period at the start of July when individual fees were displayed in the format of 0.00000 with no tax (summaries included the tax) -- eBay switched to displaying individual fees in the format of 0.00 with tax included. Some sellers discovered rounding was not nice to them (10 cent listing fee with 5% GST becomes 11 cents rounded).

It does make a little more difficult to verify that eBay is doing the math correctly.

My July 15 invoice shows:

...

Rounding error for my invoice works out to 1 cent over (taxed on total versus taxed on individual fees).

-..-

[tyler@ebay]

Howdy @dutchman48 (et al) - I got your PM from the chat (thanks for sending that by the way) and will respond to that in a moment, but also wanted to check in here:

Any item that sold in the month of July had tax added to the fee charged. This is reflected in the individual line items (Final Value Fees as well as Store Subscription charges), and in the Tax Summary section of the first page of your invoice. While I can definitely pass on the feedback that you would prefer it formatted in the way you mentioned, I don't see anything incorrect on the invoices themselves. If you do notice any discrepancies please let me know!

I just looked at my latest invoice and am being overcharged for FVF's.

I guess they are not happy getting what they can after raising everything and they hope we don't notice the slight overcharges.

Absolute crooks and should be reported to the authorities.

[cumos55]

There has been a discussion of the importance of the tax calculation to eBay sellers.

For those sellers that are registered to collect GST/HST   and QST in Quebec,  the tax charged by eBay  becomes  an Input Tax Credit.

For these sellers the number must be easily identifiable.

and  .....

The easiest way to do so is calculate the tax as a percentage of Transaction fees plus Store subscription.  The tax is presented in an invoice as a single number.

Calculating the tax  for each transaction  creates a mess that cannot be readily sorted out....  and the total  for tax charged  is questionable... .... rounding errors.

eBay has to look at what should be done in order that a seller be able to determine  the tax charged very easily....  and  the tax should be reported as a single number on the invoice....

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Many sellers are not registered  to collect GT/HST.... and it is these that will find  that the calculation of tax on each transaction  is most unacceptable..It is the rounding up that will add pennies to the seller's invoice.... and in the long run the pennies do add up.

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eBay must also be careful... because if they calculate the tax on each transaction... and then ....perhaps .....report the tax to Canada Revenue Agency  as a percentage of the total of Transaction fees plus store subscriptions....  then where do the pennies go.

Everything must be absolutely black and white... no grey areas  whatsoever.... Auditor's do love grey areas

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The pennies do add up....  

There was once a person who worked the computers at a bank...   There will always be situations  where the percentage added to an account  has to be rounded up or rounded down.  This person set up an account  such that where there was a rounding down  then the fractions  that were there were directed to this persons's "special account"..

and example...  if the interest was 25.1  cents...or 25.2 cents  the 25 cents stayed in the account  and that 0.1  or 0.2 of a penny was directed to the special account .....  The amount in that special account added up quickly  into the 10's and 100's of thousands of dollars.   The person that did this eventually paid the price for this fraudulent practice.

[ricarmic]

RE Cumos example, the only reason the person got caught was because the bank ran a contest for the "most used" bank account, and the crafty portions of a cents guy of course came up the winner with millions of transactions.....or something along that line anyway....

[cumos55]

Right now eBay invoices each seller once a month whether it is the 15th or the end of a month.

The tax should be calculated on this total.

Now... if eBay wants to calculate the tax on the FVF of each transaction... then eBay should bill us... send an invoice....for each transaction.

50 transactions each month would mean 50 invoices.

Then  the GST on a FVF of 10 cents would make the total 10.5 cents.

Rounded up to 11 cents.... would mean  a charge of GST = 10 %.

With this on an invoice  one can complain to CRA that  with GST = 10 %,  one is being overcharged

[pierrelebel]

cumos55 -  Is it possible you misunderstood how eBay billed sellers all along.

As far back as I can remember, and this has nothing to do with taxes, eBay calculated its fees to six decimals but only showed two (standard).

The total fees on your invoice every month was the actual total of all fees calculated at six decimals but rounded at the end of the month to the nearest penny.  The same thing applies now with taxes.

Anyone with substantial volume of transactions who would have taken the time to add up all individual fees on a monthly invoice would have seen a few pennies missing or extra due to rounding.

There is no gauging, there is no extra profit by eBay and no extra loss by sellers.

The billing system has always been and continue to be fair and square.

There are plenty of things to criticize with eBay - the fairness of the billing system is not one of them.

[cumos55]

As sellers on eBay we receive an invoice each month, whether at the end of a month or on the 15th of a month.

The tax, whether GST, HST or QST, should be  presented on that invoice.

That is what each seller should expect.

My next invoice  for transaction fees and the store subscription will arrive at the end of July, and that is what is expected by me....

[tyler@ebay]

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@cumos55 wrote:

As sellers on eBay we receive an invoice each month, whether at the end of a month or on the 15th of a month.

The tax, whether GST, HST or QST, should be  presented on that invoice.

That is what each seller should expect.

My next invoice  for transaction fees and the store subscription will arrive at the end of July, and that is what is expected by me....

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Hi @cumos55 - your July invoice will have a section on the first page called "Tax Summary" (or something to that effect). It will detail the taxable amount, your rate, and the total amount of tax charged to you as a separate line item.

Each taxable transaction in the detailed portion of the invoice will have tax added to it in the total section. If you need help with it when you receive yours please feel free to reach out!

[glassbuttons*bohemia]

WE ARE ACTUALLY PAYING ALMOST 15% TAX ON FEES !!!! I ALREADY CALLED EBAY PERSON WHO ANSWER,M KNOW IT IS WRONG, I PERSONALLY DON'T HAVE ANY CUSTOMERS IN Canada ONLY USA AND JAPAN, SO BY CANADA SALES TAX, I DON'T HAVE TO PAY SALES TAX. BUT THIS TAX WE PAY NOW, IS ON FEES, WE PAY TO EBAY. UNBELIEVABE, UNREAL, HOW MUCH THEY TRY TO GET OUT OF SELLERS. THEY ALREADY STRIPPED US FROM LEAVING NEGATIVE FEEDBACK, WHEN SOME CROOK BUY SOMETHING, BUYER FOR THEM IS ALWAYS RIGHT. I'M JUST TRYING TO SELL MY HUGE INVENTORY, AND WILL NEVER RECOMEND TO ANYONE TO USE EBAY TO SELL ANYTHING !!!! SALE TAX ON FEES !!! GO FIGURE !!! YOU MAY CALCULATE AND YOU FIND TAXABLE (THAT ARE FEES YOU ALREADY HAVE TO PAY, AND THAT AMOUNT IS SAME AS THEY CHARGE YOU 15% TAX !!! I NEED TO RETIRE ASAP !!!

[glassbuttons*bohemia]

YES, WE PAY TAX ON FEES !!! I GUESS, CANADA IS ONLY COUNTRY IN THE WORLD, WHO CHARGE SALE TAX ON FEES !!! I'M LUCKY ONE, BECAUSE IN QUEBEC IS ALMOST 15%. YEARS AGOU GOUVERNMENT MAKE ME TO PROVIDE ADDRESSES OF MY CUSTOMERS, BECAUSE THEY CHARGE ME 5 YEARS BACK $76.000 SALES TAX WITH PENALTY AND LATE FEES. I HAD TO PROVE, I HAVE NO CUSTOMNERS IN CANADA. TOOK ME 2 WEEKS TO PRINT MY PROVE. ON THE END I OWE $0. SO I GUESS THIS WAY IS HOW THEY WILL GET SOMETHING??? EBAY WILL NEVER PROTECT THEIR SELLERS. BUT ONLY BECAUSE OF SELLERS, THEY ARE MAKING FORTUNE !!!  OLD SAYING: DON'T BITE HAND THAT FEED YOU!!!

[glassbuttons*bohemia]

ALSO MORE THEY TAKING FROM US !!! IF OUR CUSTOMERS ARE IN USA AND FEW OTHER COUNTRIES, THEN YOUR GOOD SELLERS STATUS WILL NOT COUNT, SO NO MORE DISCOUNT ON FEES. I ALWAYS SELL WORLD WIDE, AND NEVER RESTRICTIONS. THEY SAYINT, WE NEED TO BUILD CLIENTEL OTHER COUNTRIES??? HOW DO WE DO THAT???? CROOKS??? I'M OPEN TO SELL TO EVERYONE. NOT MY PROBLEM, THAT ONLY BUYERS IN JAPAN AND USA ARE INTEREST IT IN MY ITMES. THIS IS ONLY WAY FOR YOU CROOKS TO TAKE AWAY MY GOOD SELLLING STATUS SO YOU DON'T NEED TO PAY ME MY DISCOUNT !!! HOW CLEVER !!!! WHAT KIND OF BUSINESS SCHOOL YOU WENT TO??????