Patreon is Introducing Sales Tax (Patreon)

Patreon has informed creators that they will soon be implementing sales tax where applicable on pledges etc because they are now required by law to do so.

So, I just wanted to quickly post to let everyone know about it.

It starts on July 1st, 2020.

Some areas are affected while others are not, it depends on where you live and also depends on the rewards the pledge gives, but I will be copy and pasting a pre-written letter that Patreon offered to make sure Patrons know about these changes.

"Hi everyone,

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. 

Thank you for all of your support."

TL;DR This link https://support.patreon.com/hc/en-us/articles/360043055071 will have all the info on what countries/states are being taxed, and what goods might be taxed.

As for my Patreon I am not sure if my stuff will be taxed or not, only one I know for sure will not be taxed would be my $1 tip jar tier.