Patreon Sales Tax Updates - Starting July 1st (Patreon)

Hey Everyone!

You might have seen the news that Patreon is going to be applying sales tax payments for some patrons on July 1st due to changes in laws in some countries and US states. If you are in one of these places you will be getting information from Patreon about this when it happens, but I wanted to give you all a heads up in advance.

The amount of sales tax you will pay is dependent on which country, and in some cases which state, you live in. If you live in the EU, you are already paying this sales tax so there will be no change to your charges. Patreon estimates that this will effect about 30% of users, 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. 

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.

Patreon is going to be supplying creators with a 'tool kit' to specify exactly what it is we provide and what percentage of pledges should be taxed, so I will do everything I can on my end to make sure you are not being overcharged, and save you as much money as possible.

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 for your ongoing support

Tom