5 min article

Tax policy

When you sell on eBay, it's up to you to ensure you're compliant with all applicable tax laws and regulations associated with using our services.

Our full policy below explains how and when eBay charges applicable taxes, and provides additional guidance on your tax obligations, but we recommend you talk with a tax professional if you have any questions.

Frequently Asked Questions

 

Do I have to pay taxes when I sell on eBay?

Sellers are responsible for paying taxes associated with their eBay sales, in accordance with all applicable laws. eBay can't give tax advice, so talk to a tax professional with any questions.

Do I have to pay taxes for items I sell outside of the US?

If you're a US-based seller with inventory outside the US, you might have additional tax obligations. Find out more in our Seller Center - opens in new window or tab.

Read our full policy

Tax policy overview

As a condition of using eBay, you agree to comply with all applicable laws, statutes, ordinances and regulations regarding:

  • The use of eBay's website and services
  • Your listings
  • Your solicitation of offers to purchase
  • The sale of your items

Sellers are responsible for paying all fees and taxes associated with using eBay. Please review the eBay User Agreement for more details regarding your responsibilities as an eBay member.

eBay will share your eBay information with government authorities if we are required to do so by law.

Make sure you follow these guidelines. If you don't, you may be subject to a range of actions. We may limit, restrict, or suspend you from buying, selling, or using site features. Your listings may be removed, displayed lower or not shown in search results, without refunding any or all applicable fees. You may also forfeit special account status and any discounts.

What are the guidelines?

If you are selling on eBay as a business, we strongly recommend seeking professional advice about your tax obligations.

Income Tax

You're required by law to declare and pay taxes on income you've earned from your eBay sales. For tax advice about your eBay earnings, we recommend consulting a tax professional and reviewing tax regulations.

 

Tax on eBay fees

Depending on tax legislation where you live, local Value Added Tax (VAT), Goods and Services Tax (GST), or similar consumption tax might apply to your eBay seller fees.

If a tax applies in your country of residence, eBay will add the tax as a separate charge on your seller invoice or include the tax in our fees as noted for each jurisdiction where eBay is required to collect such taxes.

Please ensure that your registration details - opens in new window or tab are up to date, so that we know where you are based.

Applying for tax exemption on your eBay fees

If you use your eBay account exclusively for business purposes, you can apply for tax exemption on your eBay fees - opens in new window or tab by providing us with your tax registration number.

If you apply for exemption from tax on your eBay fees, all information related to your request – including personal information and your tax or business registration number – will be transferred to, stored in, and processed in the United States and elsewhere in accordance with the terms of the eBay User Agreement and User Privacy Notice.

eBay reserves the right to request additional verification regarding your taxable status from you or government authorities as permitted by law. Such information will be processed in accordance with the terms of the eBay User Agreement and User Privacy Notice.

 

Sales tax for items sold on eBay

Depending on tax legislation where you live and where your buyer lives, sales tax, Value Added Tax (VAT), Goods and Services Tax (GST), or similar consumption tax may apply to items you sell on eBay. Whether it's included in the listing price or added at checkout depends on both the item's location and the buyer's shipping address.

You must not misrepresent the location of your items on eBay and you must comply with eBay's Selling practices policy.

Items sold within the US

eBay provides a basic tax calculator to help sellers add sales tax to their eBay sales, however sellers will need to enter the appropriate tax rate for each state where the seller is authorized to collect tax. We can't guarantee that our basic tax calculator will meet all of your tax requirements.

Allowed Allowed
  • You may charge tax in states where you are authorized to collect tax
 
Not allowed Not allowed
  • You may not collect sales tax in states where you are not authorized
  • You may not collect sales tax beyond what is legally authorized
  • You may not include sales tax information in your item description
 

Items sold overseas (imported or exported)

Local consumer tax and/or customs duty may apply to goods imported from overseas, and the parcel's recipient may need to pay these as part of clearing the parcel through customs. These may not apply if the order's under a certain value, but the threshold varies between countries.

Contact your local tax office for information about paying sales tax on items exported overseas.

Remember that you may also have tax obligations in other countries if you are doing business overseas.

  • European Union: If you're selling to buyers located in the EU, read our article on your VAT obligations in the EU.
  • Australia: Goods and Services Tax (GST) applies to goods imported by consumers into Australia.
    • Orders up to AU $1,000:
      From 1 July 2018, if an item is located outside Australia and the buyer selects a shipping address in Australia, eBay will add GST to the order total at checkout. You'll receive payment for the order value (item price + shipping costs) as usual, and eBay remits the GST portion to the Australian Taxation Office (ATO).

      You'll need to ensure that you include eBay's ABN number and the customs code on the package:

      eBay's ABN # 64 652 016 681
      Code: PAID

      Later this year, these details will be included with the buyer's shipping address.
       
    • Orders over AU $1,000: 
      We don't collect GST on orders over AU $1,000, as this is generally collected at the Australian border.
  • Other countries: For information about your tax obligations when selling to buyers in other countries, please contact the appropriate tax authority.

Additional information

For more information about tax rules and your obligations, please contact the appropriate tax authority.

Useful links

 

Why does eBay have this policy?

There may be legal implications, fees and tax obligations associated with using eBay. Remember that it's your responsibility to understand and comply with relevant laws and regulations, and that you have to pay relevant fees and taxes.

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