Discussion Forum: Thread 315563 |
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| | Author: | BrickLady314 | Posted: | Jan 10, 2022 18:27 | Subject: | Sales Tax | Viewed: | 148 times | Topic: | Terms and Policies | |
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| I'm doing my business accounting for both of my businesses. I have an Etsy
store and this BrickLink store. On Etsy, they collect and remit sales tax for
every state except Missouri where I am located. The Missouri taxes I collect
and remit along with my regular sales tax payments.
I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal. I've
had zero in-state sales so I didn't think I needed to remit sales tax but
I have sales tax in my account for all these other states. I have no idea even
where to begin remitting those taxes. Am I missing something? Is there a setting
I don't have correct? What do I do with all this sales tax money???
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| | | | Author: | peregrinator | Posted: | Jan 10, 2022 18:30 | Subject: | Re: Sales Tax | Viewed: | 48 times | Topic: | Terms and Policies | |
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| In Terms and Policies, BrickLady314 writes:
| I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal.
|
It isn't - it's being deducted as a "Partner Fee"
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| | | | | | Author: | BrickLady314 | Posted: | Jan 10, 2022 18:32 | Subject: | Re: Sales Tax | Viewed: | 62 times | Topic: | Terms and Policies | |
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| In Terms and Policies, peregrinator writes:
| In Terms and Policies, BrickLady314 writes:
| I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal.
|
It isn't - it's being deducted as a "Partner Fee"
|
And I juuuuust figured that out. I thought I was losing my mind for a minute.
Thank you! I'm going to leave this up in case someone else is an idiot and
misses that major detail.
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| | | | | | | | Author: | Shiny_Stuff | Posted: | Jan 10, 2022 20:01 | Subject: | Re: Sales Tax | Viewed: | 48 times | Topic: | Terms and Policies | |
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| In Terms and Policies, BrickLady314 writes:
| In Terms and Policies, peregrinator writes:
| In Terms and Policies, BrickLady314 writes:
| I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal.
|
It isn't - it's being deducted as a "Partner Fee"
|
And I juuuuust figured that out. I thought I was losing my mind for a minute.
Thank you! I'm going to leave this up in case someone else is an idiot and
misses that major detail.
|
One little detail that may or may not be important to anyone:
BrickLink does collect the sales tax on our behalf. AND they keep ALL OF IT.
There is no percentage of the sales tax for the actual seller -- only for
BrickLink, since they do the actual collecting and remitting to the tax collectors.
However, it is the actual SELLERS on BrickLink who get stuck paying the Paypal
fee on that entire tax amount. So whatever percentage of fee you are paying
to Paypal to process the payments, you are also paying that fee on the sales
tax money that you never even see.
If I am wrong about this, someone please say so. I would love to be wrong on
this.
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| | | | | | | | | | Author: | peregrinator | Posted: | Jan 10, 2022 20:06 | Subject: | Re: Sales Tax | Viewed: | 39 times | Topic: | Terms and Policies | |
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| In Terms and Policies, Shiny_Stuff writes:
| However, it is the actual SELLERS on BrickLink who get stuck paying the Paypal
fee on that entire tax amount. So whatever percentage of fee you are paying
to Paypal to process the payments, you are also paying that fee on the sales
tax money that you never even see.
If I am wrong about this, someone please say so. I would love to be wrong on
this.
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You are correct but this is also true of the popular auction site - you pay the
12.55% fee on the sales tax they collect. It might be true of Etsy as well.
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| | | | | | | | | | Author: | CALBrickLAB | Posted: | Jan 10, 2022 23:22 | Subject: | Re: Sales Tax | Viewed: | 64 times | Topic: | Terms and Policies | |
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| Yes, you have to pay the fee on everything that is processed through your account
on PayPal. The same as when a store has to pay the transactions fees for the
entirety of every credit card transaction. For example, for in person sales I
use Square. I add the sales tax, paying the percentage to Square on the entire
thing. Then I go to my state sales tax return and enter all sales, minus online
marketplace sales (BrickLink), minus other sales sales outside my state, minus
shipping, minus sales tax collected, and it tells me how much sales tax I owe.
This should equal the amount I collected, but the cost of doing business on credit
cards is that I lost a percentage of that to the service fee.
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BrickLink does collect the sales tax on our behalf. AND they keep ALL OF IT.
There is no percentage of the sales tax for the actual seller -- only for
BrickLink, since they do the actual collecting and remitting to the tax collectors.
However, it is the actual SELLERS on BrickLink who get stuck paying the Paypal
fee on that entire tax amount. So whatever percentage of fee you are paying
to Paypal to process the payments, you are also paying that fee on the sales
tax money that you never even see.
If I am wrong about this, someone please say so. I would love to be wrong on
this.
____
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| | | | | | | | | | Author: | leggodtshop | Posted: | Jan 11, 2022 00:15 | Subject: | Re: Sales Tax | Viewed: | 41 times | Topic: | Terms and Policies | |
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| In Terms and Policies, Shiny_Stuff writes:
| In Terms and Policies, BrickLady314 writes:
| In Terms and Policies, peregrinator writes:
| In Terms and Policies, BrickLady314 writes:
| I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal.
|
It isn't - it's being deducted as a "Partner Fee"
|
And I juuuuust figured that out. I thought I was losing my mind for a minute.
Thank you! I'm going to leave this up in case someone else is an idiot and
misses that major detail.
|
One little detail that may or may not be important to anyone:
BrickLink does collect the sales tax on our behalf. AND they keep ALL OF IT.
There is no percentage of the sales tax for the actual seller -- only for
BrickLink, since they do the actual collecting and remitting to the tax collectors.
However, it is the actual SELLERS on BrickLink who get stuck paying the Paypal
fee on that entire tax amount. So whatever percentage of fee you are paying
to Paypal to process the payments, you are also paying that fee on the sales
tax money that you never even see.
If I am wrong about this, someone please say so. I would love to be wrong on
this.
____
|
You guys are all in the US, so its at least your own country. However I am in
The NL and have nothing to do with US State Sales Tax whatsoever! Nevertheless
a sale to PA results in a PA Sales Tax on my account! PayPal fee to pay on it
too. Ridiculous.
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| | | | | | | | | | | | Author: | Dino | Posted: | Jan 11, 2022 01:03 | Subject: | Re: Sales Tax | Viewed: | 40 times | Topic: | Terms and Policies | |
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| In Terms and Policies, patpendlego writes:
| In Terms and Policies, Shiny_Stuff writes:
| In Terms and Policies, BrickLady314 writes:
| In Terms and Policies, peregrinator writes:
| In Terms and Policies, BrickLady314 writes:
| I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal.
|
It isn't - it's being deducted as a "Partner Fee"
|
And I juuuuust figured that out. I thought I was losing my mind for a minute.
Thank you! I'm going to leave this up in case someone else is an idiot and
misses that major detail.
|
One little detail that may or may not be important to anyone:
BrickLink does collect the sales tax on our behalf. AND they keep ALL OF IT.
There is no percentage of the sales tax for the actual seller -- only for
BrickLink, since they do the actual collecting and remitting to the tax collectors.
However, it is the actual SELLERS on BrickLink who get stuck paying the Paypal
fee on that entire tax amount. So whatever percentage of fee you are paying
to Paypal to process the payments, you are also paying that fee on the sales
tax money that you never even see.
If I am wrong about this, someone please say so. I would love to be wrong on
this.
____
|
You guys are all in the US, so its at least your own country. However I am in
The NL and have nothing to do with US State Sales Tax whatsoever! Nevertheless
a sale to PA results in a PA Sales Tax on my account! PayPal fee to pay on it
too. Ridiculous.
|
Thay do the same for "our" import tax.
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| | | | | | | | | | | | | | Author: | leggodtshop | Posted: | Jan 11, 2022 01:25 | Subject: | Re: Sales Tax | Viewed: | 57 times | Topic: | Terms and Policies | |
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| In Terms and Policies, Dino1 writes:
| In Terms and Policies, patpendlego writes:
| In Terms and Policies, Shiny_Stuff writes:
| In Terms and Policies, BrickLady314 writes:
| In Terms and Policies, peregrinator writes:
| In Terms and Policies, BrickLady314 writes:
| I'm just realizing that in the 2 months I've been making sales on Bricklink
that all the sales tax collected is actually coming to me in Paypal.
|
It isn't - it's being deducted as a "Partner Fee"
|
And I juuuuust figured that out. I thought I was losing my mind for a minute.
Thank you! I'm going to leave this up in case someone else is an idiot and
misses that major detail.
|
One little detail that may or may not be important to anyone:
BrickLink does collect the sales tax on our behalf. AND they keep ALL OF IT.
There is no percentage of the sales tax for the actual seller -- only for
BrickLink, since they do the actual collecting and remitting to the tax collectors.
However, it is the actual SELLERS on BrickLink who get stuck paying the Paypal
fee on that entire tax amount. So whatever percentage of fee you are paying
to Paypal to process the payments, you are also paying that fee on the sales
tax money that you never even see.
If I am wrong about this, someone please say so. I would love to be wrong on
this.
____
|
You guys are all in the US, so its at least your own country. However I am in
The NL and have nothing to do with US State Sales Tax whatsoever! Nevertheless
a sale to PA results in a PA Sales Tax on my account! PayPal fee to pay on it
too. Ridiculous.
|
Thay do the same for "our" import tax.
|
Yeah I know. What a ridiculous system. Local taxes traveling all over the world
into accounts of people who have nothing to do with it and no control over but
pay fees on it. Well, to "soften" the blow a tiny bit I can deduct the fee (as
cost) from my income and pay a little less income tax. How did they come up with
it...
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