Yeah you can. It’s in their terms of service. This is why people should read the fine print. If you don’t agree to the terms, you simply don’t use them. Now, someone can challenge them in a court but nobody has cause they know they’ll likely just be throwing away money!
I’ve known this and although I believe it’s borderline illegal I also know they are processing those taxes so I don’t have to stress about them.
So likely how they pay themselves for that service, whether it’s in writing or not.
So if we “win” the argument and they don’t collect what amounts to Pennys (percentage on a percentage) They’ll (a) use it as an excuse to raise fres (again) or (b) tell they seller to collect and distribute their own sales taxes (no thank you).
Necessarily evil. I’m looking the other way….for now.
To put it into some perspective….if you sold $10000 in actual revenue…it amounts to about $50.
Assuming average of 4.% sales tax.
Getting charged a fee on the sales tax amount has always been the case for brick and mortar stores so this is not something new or nefarious.
Think about it. When you buy something at a local store that has sales tax and charge it to your credit card, the credit card processing company is only seeing the total amount including sales tax so they are charging the seller their processing fee percentage on the total amount which includes sales tax.
Just part of the costs of accepting credit cards as payment.
1 Like
Yup, this is also why no one has sued them or taken them to court. Cause they’re not breaking any laws.
1 Like
This isn’t that. Smh
Buyers pay sales tax. That money goes straight to Ebay, not the seller.
This is ebay taking the total final value fees and subtracting it from only the sold price & shipping cost.
They are making the sellers pay Ebays sales tax. Ebay is supposed to pay the sales tax.
1 Like
Some get it. Some don’t.
2 Likes
Sellers are NOT paying eBay’s sales tax. Sellers do pay the final value fee percentage on the sales tax.
Have you actually sold anything on eBay and looked closely at the fee breakdown?
Here’s the eBay fees breakdown for a $19.95 comic (free shipping) that I just sold.
The buyer paid $19.95 + $1.89 sales tax for a total gross amount of $21.84
I was charged a 12.9% FVF on that gross $21.84 amount of $2.82.
The total eBay fees are the FVF + a $0.30 per order fee which comes to $3.12
The transaction summary shows that I netted $16.83 which is the $19.95 (the comic sale and shipping amount) less the $3.12 total eBay fee.
Notice I didn’t get or pay any of the $1.89 sales tax.
For comparison, for an eBay sale amount of $19.95. the 12.9% Final value fee is $2.57
So, I was charged an “extra” $0.25 as a FVF because of the sales tax. No payment processor excludes sales tax from their fee percentage calculation.
eBay is not doing anything nefarious, suspicious or underhanded here.
Sales tax is NOT part of the total in the Transaction Summary. Ebay is taking more money out than they should be…
3 Likes
Fees on taxes are illegal and this guy will really flip out when he returns.
3 Likes
Love that scene Alana!
1 Like
No, technically, eBay is not taking more money than they should because in the definition of a Final Value Fee, eBay explicitly says that it includes sales tax.
Whether or not an individual person believes it is “right” to include sales tax is a different issue but eBay is not hiding this from sellers.
If you selling to a buyer in a tax-free state, then the issue is moot and the seller is paying a final net 12.9% FVF.
Understanding is hard…
Clearly, it is for you
2 Likes
Anyone care to speculate why eBay is charging me 30 cent more to process a refund when the buyer
Cancelled than the original sales transaction?
1 Like
Just a guess, but it could be a non-refundable fee that is charged when listing an item. What a seller is charged will depend on a number of different factors, staring first with your subscription type. Could be different fees depending on which category you list, type of listing, etc.
I’ve been off selling on Ebay since Dec 31, 2021.
Everytime I get that overwhelming urge to go back on and begin listing, I just come to this thread and I am healed of that urge.
I’ll remain in the Dark Ages (pre-1998) of selling at Fleas and small Conventions. It’s just so much easier and I do not get a migraine after reading this Ebay absurdity. (and let’s not forget that fun fun fun 1099K as the coup de grace for next year)
2 Likes
The eBay $0.30 per order fixed fee is not refundable due to a buyer cancellation request. It is mentioned at
Other payment processors, Stripe and Paypal in particular, actually keep the entire fee for an order cancellation so in this one instance, eBay isn’t the worst.
3 Likes
2 Likes
If you ask for 3 dimes, you might be able to find those smaller gumball machines to get 3 pieces of gum…
I tend to get these type of lame excuses in my trading card sales. Anyways, add to your block list if you like.
