PayPal Friends & Family listings. Why is this becoming so common?

I've been burned, once paying with F&F. So now I offer to pay the fee, I add 3.5% to the total, and go with Goods and Services if the seller agrees. Selling used items seldom makes a profit, so no income... What I don't understand is how sales tax can be added to a transaction between two individuals. Anyone who can explain?

steakster +1

@puptent I think it is because it is a transaction, money changes hands, and the government has the opportunity to tax you. Think about it, sales tax (sales transaction), income tax (payroll transaction), interest (dividend transaction), 401k (distribution transaction), inheritance (probate transaction). If money is changing hands, the government wants a cut of the action, we call it taxes. 
Note: Those rich enough to have unrealized capital gains, that is to say, there has not yet been a sales transaction from which they have profited, can borrow against their unrealized gain at ridiculously low interest rates (like 1%), and avoid paying any tax because there has been no ‘transaction’ in the classic sense of money changing hands, it has only been ‘cleaned’ by the bank. 
At least those are my thoughts on the issue, someone more informed on matters of high-finance may choose to enlighten us further and/or refute my claims. 

r > g

If we could find someway to end/reverse that, things would improve.

By the way, I like your 'cleaned' as another way of saying 'laundered'. Very tongue in cheek. 

All the best,
Nonoise

I have zero problems selling with F & F.

The key is asking for a phone conversation. 
Worst case would be angry calls if item did not go out.

Nobody wants that.

People are generally civil.p