Sellers engaged in cross-border e-commerce must have known that since January 2019, the US eBay official website has begun to collect Internet sales tax (sales tax) in accordance with the relevant laws and regulations of states and cities in the United States. So far, which states and cities have been included in this system? Next, I will explain it in detail:
So far, after investigating and researching various websites, I know that eBay’s official website has already carried out sales tax collection business in the following U.S. states and cities in 2019: Minnesota, Washington, Iowa, Connecticut, District of Columbia, Nebraska, New Jersey, Idaho, New York, Alabama, Arkansas, Indiana, Kentucky, New Mexico, Oklahoma, Pennsylvania, Rhode Island, South Dakota, Vermont, Virginia, West Virginia, Wyoming, Ohio, Arizona, California, Colorado, Maryland, Massachusetts, Nevada, North Dakota, South Carolina, Texas, Utah, etc. 33 states and cities; since then, four more states and cities have been added in 2020, including Hawaii, Illinois, Wisconsin, and Michigan. It can be said that the coverage is almost reaching the entire United States. eBay’s official sales tax collection business covers the entire United States. Judging from the current development trend, it is only a matter of time.
So what does the full-scale development of the “sales tax collection” business mean for sellers engaged in cross-border e-commerce? First of all, no matter where the seller is located or where the product is located, if the seller is located in the above-mentioned states and cities, eBay will automatically calculate the sales tax amount that should be included in the transaction and collect it uniformly, which greatly saves the seller’s energy in taxation; secondly, after this business is launched, eBay will not charge any service fees to sellers, which also saves the cost of e-commerce friends to a great extent.