EBay tax on 90% and pre 33 gold .

I got 8% ebuck offer last night , i think was time to buy some pre 33 gold with it , but I just find out at check out they change sell tax on pre 33 gold and 90% silver now.

 

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Must be your state. I don't have tax on mine.

 

Yeah, you're kind of stuck. It's likely not your state, because most states do not subject bullion to sales tax. It is because if you are able to use ebay bucks than according to ebay you are not buying bullion. And if you are not buying bullion, then you buying something subject to sales tax.

 

Cheer New York State suck .

 

Time to move to a more tax friendly state.

 

Not really. Many states, now including Ohio soon will charge sales tax on all bullion.

 

I wonder how the government can get away with this since ASEs and AGEs are considered US currency and hold value.

For example, if I walk into a bank and exchange $100 bill for $10 bills, should I get with a tax?

 

There's a movement for more states to charge sales tax on Internet purchases in general, but I think the movement on bullion is in the opposite direction. My state (NC) just dropped the sales tax on coins, currency and bullion a year or two ago. I know other states have dropped it fairly recently. I haven't heard of any state starting to tax bullion where they previously didn't.

 

Same way they can get you if you try to pay for goods or services with gold or silver coins at face value. It seems logical that spending non-demonetized US coins at face value would be legit, but you'll get nowhere trying to exploit that loophole.

If you want to swap two $50 AGEs for a $100 bill, nobody will stop you. But if you take those same two $50 AGEs as payment for some contracting work, then report your income from that work as $100, you'll get nailed.

 

You're missing my point. My point is that under ebay policy ebay bucks cannot be used for bullion. Therefore, if he is able to use ebay bucks to buy pre33 gold, according to ebay, he is not buying bullion. Therefore, he is buying a taxable item. (Most states have sales tax. Most states do not tax bullion) (I don't know where he lives, but the odds would suggest he lives in a state with sales tax but without a bullion tax. If ebay considers he bought something that was nonbullion, he would be taxed for it).

 

No it’s the State. There was a recent court decision that requires bullion sellers to collect sales tax if the State, of the buyer, has laws for that.

 

I live in New York State , i have purchase some pre33 gold year ago were no tax with ebuck , but I think they have change it now .

 

My State, California, started a few months ago for any bullion purchase under $1500.

 

You're missing the ENTIRE point. Most states have sales tax; most states exempt bullion from that tax, however. The Wayfair Supreme Court decision gives the state the ability to impose sales tax on all purchase made whether physically in the state or out of the state. So now when you buy shoes or records or whatever on ebay, you will be charged sales tax. However, if you buy an American Gold Eagle you should not be charged sales tax, because most states do not tax bullion.

My point is about the exemption for bullion. If you are an ebayer buying bullion in a state with regular sales tax, you will NOT be charged tax on a bullion purchase. And if you are by mistake, tell ebay and it will be refunded.

However, this is not about that. This is about buying silver and gold to earn ebay bucks. Normally, ebay bucks CANNOT be earned when making purchases within the bullion category. However, many ebayers use the loophole of finding gold and silver that has been listed in other categories on ebay. One popular example of this is buying pre33 gold to earn ebay bucks on the purchase. However, if you are buying a numismatic item rather than a bullion item, you will be charged sales in many states.

 

That’s not quite correct. You can’t earn eBay bucks when you buy anything classified as bullion. But if you already earned eBay bucks you can use them to pay for a bullion purchase. Also if the seller does not list the item under the bullion category you will earn eBay bucks when you purchase said item.

 

Correct. That was my typo.

So my point is that if you are buying something outside of the bullion category in order to use the loophole to earn ebay bucks, you will have to pay sales tax on that item, no matter what it is.

You will now have to gauge what is better: to earn 8% back on your "bullion" purchase that is listed in an eligible category but pay sales tax or NOT earn ebay bucks because you buy bullion in a bullion category but therefore are not subject to sales tax.

So the buyer will need to check what their state sales tax rate is. If it's over 8%, then buy your bullion as bullion to not be taxed but lose the ebay bucks. If your state sales tax is under 8%, then pay the sales tax and buy your bullion in a miscategorized area to earn 8% ebay bucks and come out ahead.

 

The difficult part is finding the item you want in a “miscategorized” section.

 

My easy solution is to simply NEVER buy bullion on ebay unless it comes from a nationally recognized dealer.

 

The bullion tax is an alternative to taxing our you-know-whats.

 

My state (Pennsylvania) recently began charging/collecting sales tax for eBay purchases, but as far as I know, coins are still exempt in my state. Anyone know how to find out *exactly* how the new rules affect us, per state?