nightfawn

An update on sales tax (Important, Please Read)

Added 2020-05-06 19:59:14 +0000 UTC

Hey friends, I recently got an email about some changes we'll be seeing which may affect some of your pledges. So I wanted to give you guys a heads up.

Some of you may already be dealing with this, but due to new laws passing in several countries and US states, Patreon will be required to start charging sales tax on some pledges starting July 1st.

Less than half of all patrons will be charged sales tax, and for most, the amount will be very small. For example, sales tax rates in the US range from 4% to 11%, so on a $5 pledge, that would be between 20 cents and 55 cents.

Whether or not you will be charged sales tax depends on your location, and what is considered taxable there. Not every pledge is taxable, not all benefits are taxable in every location, and sometimes only a fraction of a pledge will be taxable. The money that Patreon collects as a result of these laws are paid directly to local governments.

You guys should be getting an email about this soon, but I thought I would give you guys a heads up in advance. For a more in-depth breakdown, please read through this article.

If you have any questions, the best place you can get an answer is from Patreon’s customer support team, here.