Dropshipping taxes on aliexpress

[leeuwtje]

Hi there, I am dropshipping from aliexpress to etsy. Now my question is for my USA and UK orders (everything outside EU) I need to pay taxes. But on Etsy they also pay taxes for my orders. So there will be paid double taxes for every order.

Now my question is how can I buy on aliexpress for the US for example without taxes? How are you guys doing this?

[agent006140]

etsy collects sales tax from your buyer,you are not involved,it wll remit the sales tax to the state where your buyer resides

Originally Posted by leeuwtje

As I can see you are from the USA. Are you able to order on aliexpress without tax?

I do not buy from Aliexpress,someone may come along and tell you.
Buyer pays sales tax,not the seller,I doubt a Chinese seller based in China will collect US or UK sales tax and remit to USA or UK.
wHAT UK and USA do is collect customs duty when the goods arrive from overseas

address in the note.??!!!
Once a seller lost $42K shipping to an address in the comment section of Paypal payment notice.
The buyer has no shipping address on file with Paypal as the account is used to buy digital items,so he included a physical addr in the comment section.
Then he filed INR and won,why?his confirmed address is blank blank blank blank

Originally Posted by DENDEN76

you can order on aliexpress and use an address for a sales tax free state and just tell the seller to ship to your address in the note. Aliexpress the platform collects taxes not the sellers

I cant think of any Tax free state in USA,they all need sales tax revenue to run the state.
Texas has no state income tax,but it does collect sales tax.

OP 's problem is that he is dropshipping or rather retail arbitrage,taking Etsy customer money and buy from another retailer (ALI EXPRESS) and ask the ALI seller to ship to his Etsy customer in US or UK.
So by giving Ali seller his US/UK buyer address,Aliexpress will collect sales tax for UK.USA ,OP does not want Ali to do so.
In order to avoid paying sales tax,he would have to get a reseller certificate and show to Aliexpress that he is reselling the goods so do not collect sales tax,but the item would be shipped to him,not to his Etsy buyer.
OR he would have to open an Ali account in the name of each of his UK,USA buyer with reseller certificate to avoid paying sales tax??????????
Like the others said,OP may as well add the sales tax to his asking price to cover such cost.
Or better,buy a whole bunch of these goods from ALI using his own reseller certificate and then he will be shipping these goods himself.
It is just a matter of time Etsy will follow Ebay and ban retail arbitrage

Originally Posted by DENDEN76

you can order on aliexpress and use an address for a sales tax free state and just tell the seller to ship to your address in the note. Aliexpress the platform collects taxes not the sellers

then if OP said I did not get the item,Ali seller cant provide tracking to HIS address.

OP wants to save money,first he does not want to own the merchandise,now he does not want to pay sales tax,he does not want to pack and ship,he wants the poor Ali seller does all the work

[leeuwtje]

Originally Posted by agent006140

etsy collects sales tax from your buyer,you are not involved,it wll remit the sales tax to the state where your buyer resides

Yes I know, that is why I need to buy without tax on aliexpress. But they charge me tax for USA orders (and all other countries except europe). How do I order on aliexpress for USA without tax or get my tax back?

[leeuwtje]

Originally Posted by agent006140

etsy collects sales tax from your buyer,you are not involved,it wll remit the sales tax to the state where your buyer resides

As I can see you are from the USA. Are you able to order on aliexpress without tax?

[leeuwtje]

Originally Posted by agent006140

I do not buy from Aliexpress,someone may come along and tell you.
Buyer pays sales tax,not the seller,I doubt a Chinese seller based in China will collect US or UK sales tax and remit to USA or UK.
wHAT UK and USA do is collect customs duty when the goods arrive from overseas

I know how it works. Unfortunately, the Aliexress platform works different and they are charging on their own behalf which they should not do.

Thank you for your replies!

Any other aliexpress dropshippers?

[Sunny87]

Indeed, Aliexpress started to automatically add taxes. I guess that you would not pay the taxes if you are vat registered in these countries. At least this is how it works for the UK.

[e2free]

Originally Posted by Sunny87

Indeed, Aliexpress started to automatically add taxes. I guess that you would not pay the taxes if you are vat registered in these countries. At least this is how it works for the UK.

Agree, its not from aliexpress its from UK and rest if europ vat reform, unless your order is over £150 they must need to collect vat and pay to hmrc

[l0ner]

Originally Posted by leeuwtje

Hi there, I am dropshipping from aliexpress to etsy. Now my question is for my USA and UK orders (everything outside EU) I need to pay taxes. But on Etsy they also pay taxes for my orders. So there will be paid double taxes for every order.

Now my question is how can I buy on aliexpress for the US for example without taxes? How are you guys doing this?

I just pay it and take it as an additional cost of product.

[DENDEN76]

you can order on aliexpress and use an address for a sales tax free state and just tell the seller to ship to your address in the note. Aliexpress the platform collects taxes not the sellers

[Hank]

Originally Posted by DENDEN76

you can order on aliexpress and use an address for a sales tax free state and just tell the seller to ship to your address in the note. Aliexpress the platform collects taxes not the sellers

They're dropshipping into the US and UK.

[DENDEN76]

Its not perfect but it works

[rsot]

Originally Posted by DENDEN76

Its not perfect but it works

Foreseeable problem could be that the seller makes a mistake and still ships to that address provided....causing big delay

[Hank]

Originally Posted by DENDEN76

Its not perfect but it works

No it doesn't, hence the thread.

[DENDEN76]

Delaware has no sales tax. Get a sourcing agent. Order from ali ship to your agent. Your agent will ship to your customers for a small fee. Or your agent can source directly.

[Hank]

Originally Posted by DENDEN76

Delaware has no sales tax. Get a sourcing agent. Order from ali ship to your agent. Your agent will ship to your customers for a small fee. Or your agent can source directly.

Still not going to work....anyway getting stupid now for a simple dropshipping exercise.

[agent006140]

Originally Posted by DENDEN76

Delaware has no sales tax. Get a sourcing agent. Order from ali ship to your agent. Your agent will ship to your customers for a small fee. Or your agent can source directly.

then OP has to pay the agent,OP does not want to pay anyone,his profit margin must be very thin.
If his agent cheats on him,nothing he can do about it

[StealthCore]

Yes, Ali express automatically add taxes. I guess that you would not pay the taxes if you are the citizens of these countries.
try to talk with them on their customers support service.

[rsot]

Originally Posted by Farhan01

Yes, Ali express automatically add taxes. I guess that you would not pay the taxes if you are the citizens of these countries.
try to talk with them on their customers support service.

Such a rip.

[agent006140]

some of the Ali sellers may have their own website,try to buy from them