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View Full Version : If I live in nys and buy a bike in nys do I have to pay tax on ebay?


Hilltopperny
08-06-2016, 04:56 PM
I bought a camera on ebay last year on ebay and ended up having to pay sales tax on it. If I purchase I bicycle in the my home state does the same rule app or is it only if the person selling is a retailer?

Cicli
08-06-2016, 05:01 PM
I bought a camera on ebay last year on ebay and ended up having to pay sales tax on it. If I purchase I bicycle in the my home state does the same rule app or is it only if the person selling is a retailer?

Only if the seller plans on passing that tax on to the state. Private party, no tax.

Hilltopperny
08-06-2016, 05:22 PM
Only if the seller plans on passing that tax on to the state. Private party, no tax.
Thanks, just wanted some confirmation before bidding. When I purchased my camera I wasn't expecting to pay tax on it. Didn't want to add unexpected cost to a possible bike purchase.

dave thompson
08-06-2016, 05:56 PM
Generally speaking any business that has a presence in a state has to collect taxes on goods/services sold to people in that state. Amazon is a good example; if they have a distribution center in your state, they'll collect the requisite taxes.

Also some states also have a law that says even if you buy something from a business out of your state you have to declare it and pay the taxes but presently there's no way to enforce that type of regulation.

Hilltopperny
08-06-2016, 05:59 PM
Generally speaking any business that has a presence in a state has to collect taxes on goods/services sold to people in that state. Amazon is a good example; if they have a distribution center in your state, they'll collect the requisite taxes.

Also some states also have a law that says even if you buy something from a business out of your state you have to declare it and pay the taxes but presently there's no way to enforce that type of regulation.
Thanks Dave

Don49
08-06-2016, 07:16 PM
If it's an eBay sale just look at the auction page on the "Shipping and payments" tab.
Sales tax details are right there where it says "Estimated sales tax" followed by something like "Seller charges sales tax for items shipped to: TX (7.25%)."

Many times I've made purchases within the same state and no tax was collected, but always good to check the listing in advance.

alancw3
08-07-2016, 05:05 AM
people don't realized that in most states sales tax is actually "sales and use" tax. technically you are suppose to volunteer payment of the tax to your state. i don't think it happens very often if at all but it is on the books.

kramnnim
08-07-2016, 06:42 AM
I've always wondered if some individual sellers would notice the buyer was in their state and decide that they need to collect the sales tax amount but keep it for themselves.

topflightpro
08-07-2016, 09:01 AM
Technically, you have to pay sales tax on pretty much anything you buy, in-state or out. It's up to you to voluntarily report it on your tax return. Few people actually do though.

unterhausen
08-07-2016, 10:13 AM
Technically, you have to pay sales tax on pretty much anything you buy, in-state or out. It's up to you to voluntarily report it on your tax return.
I went to a small business seminar and they mentioned that if you deduct an item off of your business taxes, you better have paid the sales/use tax. I'm guessing that's the only way that Pennsylvania can catch you. I don't usually bother to check if I need to pay sales tax on personal purchases

Mark McM
08-07-2016, 11:46 AM
Only if the seller plans on passing that tax on to the state. Private party, no tax.

This is not the case in New York State.

From the New York State governemt web page Sales From Your Home (https://www.tax.ny.gov/pubs_and_bulls/tg_bulletins/st/sales_from_your_home.htm):

Occasional sales from your home (casual sales)

A casual sale is an occasional or isolated taxable sale by a person who is not in the business of selling taxable property or services. People who make casual sales from their homes and have no intention of making sales on a regular basis as a business do not have to register for sales tax purposes. These occasional (casual) sales must be made from your home, and the purchaser must pick up the item at your home.

The purchaser must pick up the items at your home. If you deliver or mail an item to an address in New York State, you must collect the tax on the sale price of the item. See the rules for Occasional sales from your home (casual sales), explained above.

So, it appears that for an ebay purchase that is shipped to from a seller in New York the seller is responsible for collecting sales tax. Even if the seller doesn't, it is likely that you are still responsible for paying a use tax.

This also points to a flaw in the argument for an "internet sales tax". There are already laws on the books that covers the sales and use taxes owed to states for internet purchases, plus programs in place to declare & pay it. The internet just makes it more difficult for the state revenue departments to keep track of sales and apply leverage to the buyers/sellers to make sure they are declared/payed. Due to state sovereignty rights for these taxes, any taxes that cover inter-state purchases would have to be a federal tax, which would be a brand new tax - and that would be very unpopular, so lawmakers may be reluctant to introduce this new tax.

jtakeda
08-07-2016, 12:07 PM
I've always wondered if some individual sellers would notice the buyer was in their state and decide that they need to collect the sales tax amount but keep it for themselves.



This has happened to me and I called them out on it and they refunded me the sales tax