aurahack
patreon
Patreon US Sales Tax Change Thingy
🕑 Added 2020-05-28 17:32:15 +0000 UTCDue to US law, Patreon will be doing a change (which, for once, is not their fault) that will require them to start charging sales tax on pledges above a certain value/with certain rewards attached to them, depending on where in the world you live, starting July 1st. I don't think this will affect most of you since a good chunk of y'all are only at the $4 tier and there's a suprising amount of non-US citizens in my pledges (thank you!), but for everyone above, here is a boilerplate paragraph Patreon sent me to copy/paste to you all.
I wanted to give you an update on some changes that we’ll be seeing which may affect some of your pledges. 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.
I’m working closely with Patreon to ensure I’m able to save you as much money as possible when it comes to sales tax - which is not something that’s possible with other platforms.
If you’re in a location where sales tax will be required, you should expect to receive an email from Patreon with more information about this very soon, but I wanted to make sure you were aware of these changes way ahead of July 1st when they go into effect.
If you have questions, you should be able to find answers here. If you still have questions, the best place to get an answer is from Patreon’s customer support team, here.
The long and short of it is that some of you will have your pledge go up a couple cents. Frankly, I don't understand how they're handling it and the sales tax tool they gave creators doesn't really explain how I can try and mitigate costs on your end as much as possible, but I did my best figuring it out and hopefully the impact is minimal.
Thanks for understanding and, as always, thanks for your support 💕💕
