PandastcASMR
patreon
!!!!IMPORTANT!!!!! Update Coming Soon - Patreon: Sales Tax
🕑 Added 2020-05-10 21:32:41 +0000 UTCBefore I upload my early access upload, I would like to inform every one of my patrons about an important update I received FROM Patreon.
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These next following lines are directly from the message I received from Patreon themselves.
"On May 6th, 2020, Patreon announced that we are being required by law to start adding sales tax to more patron pledges starting on July 1st, 2020. This affects patrons in some parts of the US and 17 other countries "
What this more or less means is you will be charged another "line item" when you pledge to a tier based on where you are located. This could mean a really small 4% and up to 25%. Again this is solely based on where YOU live. 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.
Example: For my Naughty Pandas tier ($5) sales tax rates in the US range from 4% to 11%, that would be between 20 cents and 55 cents.
"Sales tax is determined based upon the location of the “buyer”, or in our case the patron. It’s possible for Patreon creators to have patrons all over the world. We are preparing to start applying sales tax for patrons in the US and 17 additional regions. Whether or not you have patrons today in these regions, you may (hopefully will) get new patrons in these places in the future. We encourage creators to review the new tax settings once they launch to ensure current and future patrons are taxed accurately. "
Does this mean I will be raising my pledge requirements so that you won't be taxed? Unfortunately, that is illegal.
" In the US, we are not legally allowed to include sales tax in the pricing. It must be broken out as a separate line item and added on top of the base price. In other regions, most of the time prices do include sales taxes, such as VAT in Europe which is normally included in any price shown. We are looking into how we can update Patreon to accommodate tax customs in more regions but this will take some time. "
I will be doing everything in my power to save you guys some money, especially in these hard times. According to Patreon, there will be a new "advanced tax setting" that Creators can utilize to save patrons a small amount of sales tax
"For creators who want to dig into the details and optimize, we are launching some advanced tax settings later this month that will allow you to do so. This may save your patrons a small amount of sales tax in some cases. The settings are not live yet, but will be by the end of May 2020."
The changes will, again, go into affect July 1st, 2020 and in case you forget, you will be emailed on June 1st, 2020 to remind you of the planned changes.
Thank you for all your continued support! IF YOU HAVE ANY QUESTIONS, feel free to drop me a DM and I will get to you as soon as I can! Love you guys! Stay safe, wash your hands, and stay Pandastc!
