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Howdy guys! Patreon creators received notice today that a new tax law is going into effect July 1st, which will enact sales tax for certain pledges and states. This sales tax is also dependent on what the local laws are for certain Patreon rewards. For example, some states will charge tax on digital goods, while others do not. 

According to estimates, less than half of patrons will be charged sales tax, and it will be quite small. Sales tax in the US ranges from 4%-11%, so for a $6 pledge the tax would be between 24 cents and 66 cents. That is, if your state or region cares to tax digital goods at all. According to what Patreon tells me, around half of states do not.

A more exhaustive breakdown of how the taxes work can be found here! Patreon will be rolling out tools for creators to further tweak how the taxes work for our specific Patreon pages, but I'm not super clear to what extent. I'll know further down the line.

If you're in a location that will be enacting this sales tax, you should be getting an email about it pretty soon. Sorry to be the bearer of annoying news! Take care and take it easy. ❤

Comments

Teaf Sochi

11% sales tax? Oh my gosh what state is that, that's terribad.

kingsam178

So in canada only f quebec (where i come from) will be f charge

invidious

Sorry to hear that, man. And 10%... Yeesh... Glad I live in Ontario, though. For now, anyway.

haughty garbage

Glad to know the US govt gets a cut of my smut money. The roads and hospitals of America run on c u m

Rickalator98

I bet that Illinois is going to be on the high end, 11%.

minoan

I'm pretty sure the only way Patreon knows where you live is the information you provide yourself on your own profile page. That's all I'll say.

Nick H

They probably pull it from the billing address associated with your credit card, not your individual profile.

Giza White Mage

I prefer to think of this as the Cock Tax. I pay it gladly.

Dede

The tax has been already implemented for the EU region... can’t tell if for all countries or some of them, like a year or two years ago. Thanks to that I already pay like +20% for each pledge :(

Richard Awesome

Surprised it took this long for California to demand tribute.

Dominik R.

What beautiful state you're from, Mesh?

Bryan shaw

Thx for the heads up.

Anonymous

Thanks Meesh

Orry Maine

Great, now the state can force their hands into even more of my money. Specifically the money I use for Furry Boyz