One tax cost comes out of your earnings: the actual cost of filing your annual tax form (Form 1099-K). Esano pays for sales tax calculation itself, and its listed fees don't include VAT or similar taxes that may apply.
What Esano pays
Esano keeps 20% of each item price and pays card processing and sales tax calculation fees out of it. You don't pay anything extra when a buyer is charged sales tax. See how sales tax affects your earnings for an example.
Taxes on Esano's fees
The fees listed for sellers don't include VAT or similar taxes that may apply. Esano gives sellers at least 14 days' notice before any platform fee changes.
The 1099-K filing cost
If a Form 1099-K is filed for your shop, the actual cost of filing it is deducted from your next payout.
- The deduction never takes a payout below zero.
- If your next payout is too small, the rest carries to later payouts until it is recovered.
- If your shop closes before the full amount is recovered, Esano absorbs the remainder.
- Esano doesn't debit your bank account for it.
When an amount is waiting, your Payouts page shows a note that says how much "in actual tax-form costs will be deducted from future eligible earnings." It isn't overdue debt.
Read more about the form in Form 1099-K and your Esano sales.
Other payout deductions
Stripe charges its own payout fees, and amounts you owe from refunds or lost disputes are offset against future earnings. For everything that can come out of a payout, see what can be deducted from my payout.
Common questions
Are Esano's fees taxed?
The fees shown on the Sell page don't include VAT or similar taxes that may apply.
Do I pay for sales tax calculation?
No. Esano pays card processing and sales tax calculation fees out of its 20% fee.
What if my 1099-K filing cost is more than my next payout?
The cost is taken from your next payout without taking it below zero. Any remainder carries to later payouts until it is recovered.
Related articles
- Form 1099-K and your Esano salesSelling on Esano · Taxes for sellers
- How sales tax affects your earningsSelling on Esano · Taxes for sellers
- Does Esano collect sales tax on orders?Selling on Esano · Taxes for sellers
- What can be deducted from my payout?Selling on Esano · Fees and payouts
- What fees does Esano charge sellers?Selling on Esano · Fees and payouts
More in Taxes for sellers
Still need help?
Email customerservice@esano.com or call 888-463-7051 (toll-free). Include your order number if you have one.