So Ebay and Pay Pal are to become tax collectors. Any comments?

[magroy1939]

So Ebay and Pay Pal are to become tax collectors. Any comments?

[kopenhagen5]

They have been since 1st July 2018.

[lyndal1838]

Yep, you have missed the boat....ebay has been collecting the GST since July last year.

Not sure what taxes are being collected by paypal.....care to enlighten us?

[enigmabear]

I can't comment as I have not read any information that is news

Could you please share a link to the new announcement 

[gutterpunkz05]

---

@magroy1939 wrote:

So Ebay and Pay Pal are to become tax collectors. Any comments?

---

Plenty of comments on numerous other threads over the last year or so, also there were plenty of comments over the previous years, while the Govt tax policy was being formulated.

Notification of policy and user agreement updates, while it may include minor changes in wording, it is not a new policy and No new taxes involved.  So  pretty much business as usual at paypal and ebay.

[gutterpunkz05]

---

@lyndal1838 wrote:

Yep, you have missed the boat....ebay has been collecting the GST since July last year.

Not sure what taxes are being collected by paypal.....care to enlighten us?

---

Apparently there will be slight changes to paypal invoices, could not be bothered reading it all.

[brerrabbit585]

For those who didn't get the email (it was in my ebay inbox dated 4th Oct) this is what it said:

User Agreement and Tax Policy Updates

Together with PayPal, we’re updating how we process and collect tax. From November 2019, we’re updating the eBay User Agreement and our Tax Policy to reflect this change.

This change affects transactions where we’re required to collect tax in the jurisdiction where the item is being delivered. That includes orders up to AU $1,000 imported to Australia, or exports to certain US states.

We’ll continue collecting any required tax from buyers.

You’ll see a change in the PayPal transaction details:

• You’ll receive payment for the gross order amount, including tax.
• Once settled, we’ll automatically deduct the tax amount for remittance.

You can see a record of tax collected from each order in the Seller Hub order details page, or by downloading an order report.

Next Steps

You don’t need to do anything. If you have any questions about tax or how this may affect you, we’d recommend you speak with a tax advisor.

Read our Updated eBay User Agreement >

Check Out our Updated Tax Policy >

As announced in our Spring Seller Update, we’re rolling out our new, simplified selling policies this week in the Help Hub.

[magroy1939]

Thanks for your post. I have been away, hence no replies were sent.. I was referring to the email as per your post.

[lyndal1838]

There is nothing different being done in the collection of the GST except that there is one more step in the process.

The amount collected from the buyer will be given to the seller and then removed from the seller and remitted to the ATO.

I predict there will be an outcry from sellers who have not read the announcement.