So ebay is charging taxes in my state now...

[Mark McM]

Originally Posted by tuscanyswe

Nope but those are a business. Big difference vs selling a used bike as a private person. At least from my point of view.

Actually, there is a difference between businesses selling products and private individuals selling products: The business doesn't have to pay sales tax when they buy the product for re-sale. But in both cases, the end customer is required to pay sales tax.

There's been a lot of attempts discussed here to justify not having to pay sales tax on used items or in private sales, but that's not how the law sees it. Buyers are required to pay sales taxes (or use taxes) regardless of the source of the product, or whether it was previously used. The only difference in the law is who is required to collect the tax and remit it to the state. In a sale by a business, the business is required to collect the tax and remit it to the state. In a sale by a private seller, the buyer is required to remit the tax directly to the state.

[tuscanyswe]

Originally Posted by Mark McM

Actually, there is a difference between businesses selling products and private individuals selling products: The business doesn't have to pay sales tax when they buy the product for re-sale. But in both cases, the end customer is required to pay sales tax.

There's been a lot of attempts discussed here to justify not having to pay sales tax on used items or in private sales, but that's not how the law sees it. Buyers are required to pay sales taxes (or use taxes) regardless of the source of the product, or whether it was previously used. The only difference in the law is who is required to collect the tax and remit it to the state. In a sale by a business, the business is required to collect the tax and remit it to the state. In a sale by a private seller, the buyer is required to remit the tax directly to the state.

So are you saying that everything that is ever sold in the US should be taxable and the only reason that this is not done previously is because the government has not figured out a way to collect the tax untill now with e-platforms and registered sales / transactions?

Here in sweden you are allowed to sell goods without tax or any kind of fees to government as long as its not a business or business like operation. Exactly what determines this seems to be a little vague (to me at least).

I did never think that it was wrong in the sense that it was legally wrong. Just really wrong in the sense that its effed up and i doubt ppl will stand for it if they did not find a way to go around the tax / fee which i presume most will.

[Mark McM]

Originally Posted by tuscanyswe

So are you saying that everything that is ever sold in the US should be taxable and the only reason that this is not done previously is because the government has not figured out a way to collect the tax untill now with e-platforms and registered sales / transactions?

Most sales taxes are imposed by states, and the US Constitution allows the states broad disgression on what and how sales are taxed. Typically, state legislatures enact laws on what and how sales are taxed, including many exemptions on basic living items, such as food, clothing, medications, etc. But generally, the states don't differentiate the sales channel through which the goods are sold.

Many taxes in the US rely on self-reporting. For example, most working adults are required to file income taxes, in which they are required to report all their different types of income through out the year. Many state income tax forms include sections to report taxable items purchased that have not (yet) had sales taxes collected. Technically, not reporting these purchases is tax fraud. However, very few people are ever audited and investigated for this, because it would take too much resources to track down every single purchase. But with the move to electronic transactions, it is becoming cheaper and easier to track down such purchases, which is why we are seeing internet purchases (including through ebay) being tracked and taxes collected.

I don't know about Sweden in particular, but many European countries have a Value Added Tax (VAT) system instead of a transactional tax system like US sales taxes. It can be argued that a private sale of goods originally bought for the original owners own use has no value added, so no VAT would be collected.

[tuscanyswe]

Originally Posted by Mark McM

Most sales taxes are imposed by states, and the US Constitution allows the states broad disgression on what and how sales are taxed. Typically, state legislatures enact laws on what and how sales are taxed, including many exemptions on basic living items, such as food, clothing, medications, etc. But generally, the states don't differentiate the sales channel through which the goods are sold.

Many taxes in the US rely on self-reporting. For example, most working adults are required to file income taxes, in which they are required to report all their different types of income through out the year. Many state income tax forms include sections to report taxable items purchased that have not (yet) had sales taxes collected. Technically, not reporting these purchases is tax fraud. However, very few people are ever audited and investigated for this, because it would take too much resources to track down every single purchase. But with the move to electronic transactions, it is becoming cheaper and easier to track down such purchases, which is why we are seeing internet purchases (including through ebay) being tracked and taxes collected.

I don't know about Sweden in particular, but many European countries have a Value Added Tax (VAT) system instead of a transactional tax system like US sales taxes. It can be argued that a private sale of goods originally bought for the original owners own use has no value added, so no VAT would be collected.

Yeah we have vat but its interesting that if i were to sell to much of something privately it could in retrospect be deemed as a business and as such 25% (vat rate here) out of everything i sold would then be collected (well actually 20% since that is what it ads up to when you ad 25% in vat). Quite a hefty sum. + Im sure there would be penalties as well on top. Then if there was something left in "profit" you would then pay the regular income tax on that part i guess. Hope i never have to find out exactly how that works.

But to think that if someone buys a carrot at a supermarket and then sell it on to his neighbour as he changed his mind because he was more in the mood for potatoes should pay a tax for this is pretty hard to swallow (for me).

[ftf]

Everyone likes what taxes buy, but apparently few want to actually pay their share.

[happycampyer]

As an example, New York State has very specific rules regarding “casual” and garage sales. In order for sales not to be subject to tax, the sold items need to be picked up at one’s home, the sales in any calendar year cannot exceed $600, the sales cannot be conducted over more than three days, etc.

https://www.tax.ny.gov/pubs_and_bull..._your_home.htm

[tuscanyswe]

Originally Posted by happycampyer

As an example, New York State has very specific rules regarding “casual” and garage sales. In order for sales not to be subject to tax, the sold items need to be picked up at one’s home, the sales in any calendar year cannot exceed $600, the sales cannot be conducted over more than three days, etc.

https://www.tax.ny.gov/pubs_and_bull..._your_home.htm

This is at least somewhat reasonable as the carrot would not be subjected to tax.

[tuscanyswe]

Originally Posted by ftf

Everyone likes what taxes buy, but apparently few want to actually pay their share.

Im actually for more n higher taxes than u have in the US esp on income and large wealth. Not to worry sweden has plenty of tax going around.

[alancw3]

the advent of the bay collecting sales tax may actually help brick and mortar stores with sales. between shipping costs and now sales tax the savings may not be worth the wait to getting the merchandise is more cases.

[oldpotatoe]

Originally Posted by tuscanyswe

Im actually for more n higher taxes than u have in the US esp on income and large wealth. Not to worry sweden has plenty of tax going around.

Compare an appendectomy in Sweden and the US...In the US it's $30,000 to $50,000..and no insurance or poor insurance and it's a comin outta yer pocket.

I get you pay an initial $113(1100 SEK) and the rest is free..I'd pay more in taxes if that meant I wouldn't be homeless because of a serious medical event.

[tuscanyswe]

Originally Posted by oldpotatoe

Compare an appendectomy in Sweden and the US...In the US it's $30,000 to $50,000..and no insurance or poor insurance and it's a comin outta yer pocket.

I get you pay an initial $113(1100 SEK) and the rest is free..I'd pay more in taxes if that meant I wouldn't be homeless because of a serious medical event.

Yeah who wouldent. Its a no brainer. Yet yr taxes remain low and the rich gets richer meanwhile poverty is increasing and healthcare is to expensive for anyone but those well off. Yet Somehow in this scenario a republican like trump can get elected, Beats me

[oldpotatoe]

Originally Posted by tuscanyswe

Yeah who wouldn't. Its a no brainer. Yet yr taxes remain low and the rich gets richer meanwhile poverty is increasing and healthcare is to expensive for anyone but those well off. Yet Somehow in this scenario a republican like trump can get elected, Beats me

Yup, agree...