Why does Ebay charges Canadian sales tax on items for a seller that sells well below $30000 per year

Anonymous
Not applicable

Ebay should collect sales taxes on sellers who sell over $30000 CAD per year and not for those who sell for less.

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Answers (5)

Answers (5)

The collection and remit of taxes is not done by individual sellers.

It is done by eBay which processes well over $30,000 a minute in payments every day.

The money passes through our invoices as a simple way of charging the customer.

This has been done for over two years for our US customers, and was a decision of the US Supreme Court. Most sellers are less familiar with similar collections from the UK, EU, and Australia.

 

As of July first, Revenue Canada will be expecting similar collection by eBay.

Again the money will pass through our invoices and our Buyers will pay their provincial tax and GST as part of their whole payment.

 

What we will see is that since the tax money makes up part of the payment processed by Managed Payments, we will be paying FVF on it as part of the whole payment.

 

The only good thing about this, besides putting all sellers, bid and small on the same footing, is that eBay will be doing the calculation for us.

Unless you can tell me how much sales tax you should charge for buying a pair of children's sneakers at $10  and shipping them to BC in a box 17x15x10cm  weighing 749 gr.

 

It's not a question of whether sellers sell over or under $30,000/yr...this is the Canadian Gov't taxation on sales of goods from online selling sites. Canadian BUYERS will pay sales tax on their purchases from

 online selling sites-eBay,Amazon,Etsy,etc;  sellers pay fees on the TOTAL transaction, including any applicable taxes paid by the buyer..

marnotom!
Community Member
Tell that to the CRA. Your beef is with them, not eBay.

If you sell to the United States, most of your American buyers are already being charged state and local sales taxes.

If you got the email from eBay with this new information, they state "Please note that these changes will affect most e-commerce companies that operate in Canada. "

 

They also say 

Additional information about the federal measures can be found at the CRA site or by calling their hotline: Then a link to call CRA directly.

 

I suggest calling CRA or something. In the future don't vote for politicians who openly say they're going to tax you more.

This has nothing to do with eBay, thank the elected officials you put into power for this...