Amazon to eBay dropshipping: what to do about Amazon sales tax to certain customers?

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I have been dropshipping for a couple weeks now, and was lucky enough to never be charged sales tax on Amazon when purchasing the item for my customer. However, recently I have been getting sales tax on certain items depending where my customer is located.

So, my question is how should I go about doing this? If I end up getting charged sales tax by Amazon I end up losing money or breaking even on my eBay sale.

I was thinking charging the customer sales tax but wouldn't that be illegal? Since I am paying the sales tax to Amazon and I would be pocketing the sales tax I am charging the eBay customer?

If that is the case and that is illegal, how is dropshipping Amazon to eBay viable?
#amazon #customers #dropshipping #ebay #sales #tax
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  • Profile picture of the author yukon
    Originally Posted by nickers View Post

    I have been dropshipping for a couple weeks now, and was lucky enough to never be charged sales tax on Amazon when purchasing the item for my customer. However, recently I have been getting sales tax on certain items depending where my customer is located.

    So, my question is how should I go about doing this? If I end up getting charged sales tax by Amazon I end up losing money or breaking even on my eBay sale.

    I was thinking charging the customer sales tax but wouldn't that be illegal? Since I am paying the sales tax to Amazon and I would be pocketing the sales tax I am charging the eBay customer?

    If that is the case and that is illegal, how is dropshipping Amazon to eBay viable?



    Find the highest state for sales tax and add that to the sales price. Now it's not a problem.

    Note, I don't suggest the Warrior Forum fad of DIY drop shipping without already owning the product. Buy in bulk for your best seller/s and dump the middle man scheme. That gets you lower prices, higher profits and fewer headaches.
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  • Profile picture of the author chuff1026
    you can charge sales tax on ebay
    and you can get a tax exempt account with amazon
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  • Profile picture of the author cjshu99
    easiest way is to just mark your product up a few percent more. done. another 5 or 6 percent would probably cover it
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