So did you pay state sales tax on your ebay purchases?

[undeterred]

I did this year. Turns out I had around $100 of purchases on ebay that I hadn't paid sales tax on in Wisconsin so that comes to $5.50. It took me about 20 minutes to go through everything and add it up. I've heard of this before but never bothered. I can't think of anything else I bought online, but maybe it will come to me.....

[philosophie_en_rose]

1. No. Isn't it the seller's obligation to submit sales tax to the state?

I don't think I've bought anything on Ebay that would require sales tax. However, I thought it was the seller's job to collect and/or submit sales tax to the state.

[China_cat]

2. Were your purchases all of new things?

because tax is not supposed to be charged on pre-owned items due to the fact that sales tax would have been paid at the time of the original purchase.

[youngdem]

3. Uh, what state do you live in?

They charge tax in every state I have ever lived on used cars, vintage clothing, used boats, recycled paper, and previously owned homes.

Did I miss a meeting?

[undeterred]

4. I thought all online purchases from an out of state seller

required that you pay sales tax (new items). I live in Wisconsin.

[China_cat]

9. SC

And no we don't have a sales tax on used cars, boats, homes, etc. That is taken care of by the YEARLY personal property tax. Thrift stores charge no tax. I wish we could get the same deal on groceries and meds.

I had my own business for 10 years. The rule was that if I paid tax on my supplies then I did not charge it on a finished product. Double dipping.

[undeterred]

6. Oh, maybe not.

But the total was $5.50 so its not even worth recalculating.

[Jackpine Radical]

7. Try that on an auto purchase in WI.

They won't let you license the car until you report what you paid for it & pay the tax. If they think you're reporting too low a purchase price, they'll make you prove it or pay the tax on what they think it's worth. (Bluebook.)

[China_cat]

10. We have a yearly personal property tax that covers

boats, cars, house trailers, etc. They calculate your tax from this book they have and then they send you a bill every year.

[Frogger]

5. Yeah, there's

a form on my state income tax return to fill in so you can pay your taxes.

And I'm going to fill it in. Right.

[originalpckelly]

8. I'm sorry, but sales taxes are insane, completely and totally.

As are "payroll taxes". There ought to be a single tax at every level of government on income alone, what ever source it may come from. That tax should be easily calculated as well. It should be payable on the internet.

In other words, it should be easy, comprehensive and not dishonest. Currently taxes are split up into so many different types, that it is actually quite ridiculous. If you're going to charge a property tax, it should be a tax on any income from that property, and it should only be charged when the income is actually realized (when the property is sold.)

I'm not arguing for any particular rate of taxation, it can all be the equivalent of what we all pay in our own states as of right now, but it should all be simplified.

[chelsea0011]

11. Isn't tax only on purchases from a seller that is located in a state

that you also live in? Isn't that the law until Congress gets around to changing it?

[undeterred]

12. I thought it was exactly the opposite-

only from a state you don't live in. Now I'm totally confused.

[philosophie_en_rose]

14. No. It's only from the state that you DO live in.

I live in Washington. If I buy anything from Amazon.com (which has offices and distribution centers in Washington), I pay sales tax.

If I buy some random book from an Ebay seller in Oregon, I pay no sales tax.

First, they don't have sales tax in Oregon, so Oregon would not collect.

Second, Washington can't collect sales tax for sales in Oregon. (And Washington doesn't have personal property or income taxes, so there's no way for me to pay extra sales tax anyway).

Third, it's the seller's job to pay the sales tax, if Oregon did collect sales tax. If the seller messes up, Oregon is not going to come after me. No need for the buyers to declare.

And, fourth, I wouldn't want to call attention to myself by declaring taxes that don't apply to me. No audit, please. :)

[undeterred]

16. thank you

God, I hate doing taxes. Its too complicated... and mine are simpler than most.

[chelsea0011]

21. No. I only get taxed if I but from someone located in state. It is

sometimes why I choose to purchase the same article out-of-state so to avoid the tax.

[zalinda]

13. For right now. And states dictate how you collect it.

Small Internet stores can go into paperwork overload when doing sales tax. In New York, it's where the product is delivered to. So, I spend hours looking up which city is in which county to calculate how much tax I was supposed to collect, as compared to what I actually collected. So far there isn't a software program that I can afford that will let you put in various amounts of taxes, so I use our county's tax rate and then just make up the difference when I file the sales tax. This year I had to pony up an extra $3.

If it gets much crazier, I'll have to shut down my business and go on welfare or disability.

zalinda

[jwirr]

15. It may have changed but for items sold outside the state we did

not have to pay taxes. When I filled in the tax boxes on ebay no one from my state bid. So so-much for paying state taxes.

[Gormy Cuss]

17. Most states require residents to pay sales taxes on out-of-state purchases delivered to their home.

The sales tax applies only on items that would be taxed if you bought them within your own local area. If food isn't taxed, for example, then no sales tax is owed on catalog or online purchases of food.

Many people think that if the seller doesn't assess the tax that none is owed, but that is not the case. Sellers always collect if you live in their state, but are rarely required to collect if the purchaser is from a different state. You as the buyer are responsible for paying the applicable tax directly if the seller didn't assess it. In states with income tax there's usually a place on the tax return to declare unpaid sales taxes.

A great many people are unaware of it, it's asinine, but it's the way the law usually works in most states.

[undeterred]

18. Well, thats how the income tax form read to me

I wish places like ebay would make it easier to calculate. Someone else in the post told me the exact opposite. This is really confusing. In my case it amounts to around $5 so I'm not going to sweat it...but it is really confusing. My out of state purchases total $100- if it were a high total I'd really be concerned.

[Gormy Cuss]

19. Your state calls it a use tax and it is one of the FAQs addressed at the state DOR site

http://www.dor.state.wi.us/faqs/ise/usetax.html

# What must I do if I buy taxable goods or services from an out-of-state mail-order company, television shopping channel, Internet seller, or Internet auction service and no Wisconsin tax is charged by the vendor?

If you buy the goods or services for use in Wisconsin, you must report and pay the use tax as explained in Question 9 below.

# Is an out-of-state merchant misleading me if he tells me I do not need to pay Wisconsin tax on my purchase?

Yes. While you may not have to pay sales tax in the state where you bought the goods or services, you must pay Wisconsin use tax on taxable goods or services purchased for use in Wisconsin....

As I posted above, it's an asinine way to handle it, but it the same way in many states.

[undeterred]

20. Wisconsin is BIG on taxes.

We have one of the worst state income taxes in the country, and property taxes are terrible.