Value Added Resource Week In Review 2-5-23

Welcome to the Value Added Resource ecommerce news week in review!

eBay News

The big eBay news this week was the Winter 2023 Seller Update, which included Final Value Fee increases across most categories and not much else.

eBay Winter Seller Update 2023 - More Fees...And Not Much Else

eBay’s Winter 2023 Seller Update - more fees but where’s the added value?

Value Added ResourceLiz Morton ~ Founder

The other big news is that 1099-K forms from eBay are starting to arrive - and unsurprisingly that means new reports coming in from victims of identity theft that have had their names, addresses, and social security numbers used to create eBay accounts without their knowledge that funneled tens of thousands of dollars of fraudulent sales through the platform.

eBay Identity Theft & Fraudulent 1099-K Problems Continue

As eBay send 1099-K tax forms for 2022, reports of fraud & stolen identities used to sell on the platform return.

Value Added ResourceLiz Morton ~ Founder

Sellers also report eBay has mistakenly issued 1099-K forms with their individual names and social security numbers instead of their LLC business name and EIN.

eBay Mistakenly Issues 1099-Ks To Individual Seller Names, Not LLCs

Sellers befuddled as eBay issues 1099-K tax forms with SSNs instead of LLC EIN info.

Value Added ResourceLiz Morton ~ Founder

Speaking of taxes, in addition to the ongoing issue with eBay incorrectly charging the California Ewaste fee on used/for parts laptops, they are now also incorrectly applying the North Carolina White Goods Tax on used refrigerators and appliances as well as parts that are clearly exempt.

Not only are buyers overpaying on tax, but sellers are also overpaying on fees since the FVF is charged on the total including taxes and fees.

eBay has been made aware of the issues but has failed to correct their tax calculation program - a major conflict of interest since they profit off of the "mistake."

eBay Charging North Carolina White Goods Tax In Error

eBay incorrectly applies NC White Goods Tax, costing both both buyers & sellers additional fees.

Value Added ResourceLiz Morton ~ Founder

This week eBay lost their General Manager of Authentication, James Hendy and Director Vertical Merchandise, Bob Means.

Means was the public face of eBay's trading cards, toys, and collectibles efforts, including eBay Vault and eBay Live livestream shopping, often appearing at industry events and as a frequent guest on hobby related podcasts and blogs.

eBay Loses Trading Card & Authentication Leaders

eBay’s vertical strategy struggles as leaders in Authentication & Trading Cards leave the company.

Value Added ResourceLiz Morton ~ Founder

And finally this week, eBay suffered a major technical meltdown on Friday when the sitewide search function completely failed - return 0 results for even the most common search terms.

eBay Search Broken 2-3-2023

eBay search is completely broken, returning 0 results for common keyword searches.

Value Added ResourceLiz Morton ~ Founder

Other Ecommerce News

Etsy announced ex-Meta General Counsel Colin Stretch will be joining the company as Chief Legal Officer on February 14th.

Etsy Appoints New Chief Legal Officer Colin Stretch

Etsy’s new Chief Legal Officer, ex-Meta General Counsel, Colin Stretch will join the company February 14.

Value Added ResourceLiz Morton ~ Founder

Stretch's extensive experience in compliance, litigation, public policy, & regulatory issues will certainly be needed as Etsy faces a lawsuit from the Cashmere and Camel Hair Manufacturers Institute alleging the company falesely advertised and conspired with 3rd party sellers to offer counterfeit cashmere goods on the platform.

Etsy Faces Lawsuit, Sec230 Challenge On Counterfeit Goods

Lawsuit alleges Etsy falsely advertised & conspired with 3rd party sellers of counterfeit cashmere goods.

Value Added ResourceLiz Morton ~ Founder

Amazon announced this week that effective February 15th, custom and personalized items will no longer be eligible for returns.

Amazon Stops Returns On Custom & Personalized Items

Amazon announces custom & personalized items will no longer be eligible for returns effective February 15.

Value Added ResourceLiz Morton ~ Founder

Sneaker marketplace StockX is launching their first authentication center in Mexico to enhance local customer experience and speed up delivery times and payouts.

StockX Expansion Continues With First Authentication Center In Mexico

StockX launching first Mexican authentication center to enhance local customer experience, speed up delivery & payouts.

Value Added ResourceLiz Morton ~ Founder

And finally, even though the IRS announced they were delaying lowering the threshold for 1099-Ks to $600, some ecommerce sellers may still receive the tax form even if they were under the previous $20,000 threshold.

Why? The answer may be - location, location, location!

Why Did I Receive A 1099-K Under $20,000 For 2022?

Sellers ask what threshold are marketplaces using on 1099-K tax forms for 2022? Get the answer here!

Value Added ResourceLiz Morton ~ Founder

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