About the upcoming new sales tax
Added 2020-05-21 02:20:23 +0000 UTCHey guys!
Some important news that you guys ought to know about if you haven't already from another creator you are supporting: Patreon will need to start to apply a new sales tax starting July 1st, 2020. From what I understand, this is going to be applied to certain patrons who live in certain countries and states in the US covering this new rule. So those living in South Korea, Australia, Japan, India, Russia, 36 US states plus D.C., etc... will be covered. I think we'll be seeing less than half of patrons to see this change, and thankfully, most will see only a small change.
If you're in one of the US states covered, Patreon will automatically add anywhere between 4 to 11% depending on where you, the patron, are based in, and what kind of "good" you are backing or getting. So a typical $5 pledge may have $0.20 to $0.55 applied to it. For other countries, it seems to be a flat percentage depending on the country (ex: NZ - 15%, Japan - 10%, South Korea - 15%, Russia - 20%, etc...) For those in the EU, Patreon has been doing this for some time already in the form of VAT, which is automatically applied.
I think what is taxable may be applied to a fraction of the pledge depending on how much that "good" is worth, so that sounds, uh good? Better than expected at least. Patreon will be sending a message to you guys about this down the road if they have not already, so I may as well let you guys know now!
For questions and more information like what countries and US states have what percentage of taxes, you may find answers here:
https://support.patreon.com/hc/en-us/articles/360043055071
For other questions, the customer support line is here:
https://support.patreon.com/hc/en-us/requests/new?ticket_form_id=70716
Anyway, I'll post up another good bit of news in a bit. For now, this post ought to be about this.
Thank you for your continued support guys! It really means a lot! It sucks this has to happen now, when of all things, there's the pandemic to deal with, but since the sales tax collected will be remitted to local governments around the world, you are helping to keep your local economies moving.
Comments
I really hate taxes. One of the few things I enjoyed about Patreon charges was that it was a flat rate. [sigh] So much for that....
Sh0tgun_Jacks0n
2020-05-21 10:19:22 +0000 UTC;) ;)
2020-05-21 02:28:05 +0000 UTCThanks for letting me know!
Loblue Haze
2020-05-21 02:24:06 +0000 UTC