Any funds collected as a tax (correctly or in error) must be remitted. Failure to do so could be prosecuted as tax fraud.
What kind of time frame we talking? Do they remit immediately or hold the funds and remit monthly or quarterly?
I live in North Carolina and have been a State Auditor. If taxes are collected erroneously in whatever state you live in, you can file for a refund from your state's Department of Revenue. North Carolina's Department of Revenue have auditors that go after companies that charge taxes for the state and doesn't remit them. A friend of mine is one of the auditors and he is on the road so much, he lives in a hotel. If ebay collects sales taxes, they are required by law to remit them to the state where the purchases are made. They do not automatically refund any sales taxes collected erroneously. Contact your State's Department of Revenue. They will advise you.
When you think about it all; paying tax on "money" is pretty idiotic! Like if I buy some Kennedy halfs on eBay or wherever, I pay a tax on it. It doesn't make sense.
I suppose you could make a case for deducting the face value of the coins you receive from their taxable value. I won't be the one to try it, though. I wonder what the exact legal justification is that makes Mint products exempt from all state sales taxes? Edit: I meant to say "Mint products purchased directly from the Mint". https://catalog.usmint.gov/faqs-faq...ing/payment-processing-charges-sales-tax.html
There isn't one. It's up to the state's definition of what is taxable and what is not. For example, Texas: https://texreg.sos.state.tx.us/publ...c=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=3&rl=336 So your purchase or sale of bullion, numismatic coins, etc. is not taxable - UNLESS you use that to purchase something that is taxable... If you buy a piece of jewelry that contains a coin, it IS taxable.
I wasn't clear in my original post. Mint products purchased directly from the Mint are fully exempt from sales tax in all 50 states.
Guess What! Even if your state sells coins tax exempt you have to be registered with them as a business to not pay tax. Alabama is tax exempt on numismatic and bullion related items. I had to register a business to get it tax free. It is because of the Windfair case
No you don't. If something is tax exempt for everyone you do not have too do that at all, that isn't how taxes work. If the exemption is only as a business then yes it would need to be a business to be exempt but I would not advise making a fake business for it.
So, what your describing is a "purchase tax" not a "sales tax". Unless the seller resides in the state that has a sales tax. Or, does eBay become the seller (simply by acting as the sellers agent)? In that case, wouldn't eBay need to have a brick & mortar business in the state? I'm in Texas. No sales tax on bullion or investment coins so have not had the bad experience. Yet. I have paid tax for other items though. Haven't been shopping for a few months, waiting for this issue to ground out. Good luck to the others. If eBay is keeping the taxes, it might be due to their headquarters being in California. With the direction the California financial wellbeing is going, their new state motto should be "The Great State of Taxes".
Wrong... you are guilty of assuming the entire world is just like your little corner of it... https://comptroller.texas.gov/taxes/sales/faq/permit.php You may be selling non-taxable property, but you still have to file a $0 return or be subject to hefty penalties. While on the subject of different laws... if you are a seller, check your state laws--- some start taxing you from the sale that reaches the threshold, some from the sale after and some on a specific day (next month, next quarter) after you reach it. If you have questions, consult a tax advisor (and remember: Tax advise on the internet is worth what you pay the mooks who give it to you [including ME])
Nope, Might want to read it again though where it was claimed you had be be a business but it really doesn’t matter to me either way so consult tax authorizes for you jurisdiction.
Sigh... you've totally missed the whole point of South Dakota vs. Wayfair. The US Supreme Court held that selling into a state is sufficient for the sale being subject to the state sales tax laws. As a seller, you must collect and remit the tax for your taxable sales. If you sell through a marketplace (e.g. fleaBay) the marketplace must collect and remit the tax for taxable sales. SD vs. Wayfair established that SD's threshold of 100 sales or $250,000 was permissible. Other states have lower thresholds. No state that I'm aware of does away with the thresholds. Somebody is going to say that "I never visit SD so they don't have jurisdiction over me"... there's that little clause in the constitution (Article IV) requiring: So SD can obtain a judgment against you (esp. if you don't appear) and hire your local sheriff (or however it's done where you DO live) to seize your personal property to satisfy the judgment. They can serve your bank (which probably does have a presence in your home state) to seize your bank account. Etc.
I dislike the new tax law as much as the next person. Think about this......... Say you bought the '64 kennedy half dollar at a coin show in 2019. The original owner received this when they cashed their paycheck in 1964. They had to earn money to buy that and he/she was taxed on that money at the time. So the coin coming straight out of the mint bag has already been bought with taxed money. Joe public uses that half dollar to buy a pack of smokes which are taxed. The store who received that half dollar as payment for the smokes has to pay taxes on the profit they received. I wonder how many times that half dollar gave Uncle Sam tax revenue and how much it would add up to from '64 to 2019?
Ah, yes, the old tax story, explaining how the taxes on each dollar we earn add up to more than the dollar was worth. It makes about as much sense as saying that, since the coin paid a worker's salary, then bought cigarettes, then participated in ninety-eight more transactions, it was actually worth FIFTY DOLLARS. And it becomes more valuable every time it's spent. Just think of how you're outsmarting your state government by paying taxes on only six bucks of that value!
Yeah, that's the same answer I get "We'll send it to the tax team." Then the waiting starts. The first time, it took 3 weeks and 4 phone calls and eBay wasn't the one who fixed it. My seller reduced his shipping by the amount of the tax overage. The second time, the same seller did the same thing after neither of us had heard from eBay for a week. eBay seems to only do this with this one seller......so far.
