EBAY · 10-Q · 2026Q3 · Full report

Income Tax Rate Changes

EBAY INC · 2026-10-29 · Importance 46 · Surprise 56

The effective tax rate for the third quarter of 2026 was 17.1%, compared with a tax benefit reflected in the prior-year rate of (4.3)%; the nine-month rate increased to 17.1% from 12.6%. The change primarily reflected a larger 2025 benefit from reductions in uncertain tax positions following audit settlements and a net benefit associated with the One Big Beautiful Bill. The nine-month 2026 income tax provision was $323 million, compared with $210 million in the prior-year period.

Key facts

• As of September 30, 2026, eBay’s cash and non-equity investment assets included $464 million held in foreign operations; repatriation to the U.S. would incur certain state income taxes and applicable foreign withholding taxes, for which deferred taxes were accrued. source
• eBay’s effective tax rate was 17.1% for the three months ended September 30, 2026, compared with negative 4.3% for the same period of 2025. source
• eBay’s effective tax rate was 17.1% for the nine months ended September 30, 2026, compared with 12.6% for the same period of 2025. source
• eBay’s higher effective tax rate for the three and nine months ended September 30, 2026 primarily reflected a larger 2025 benefit from decreased uncertain tax positions due to audit settlements and a net benefit associated with the One Big Beautiful Bill. source