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Important message about Patreon (Patreon)

Published:
2020-05-21 21:47:02
Edited:
2020-05-22 03:23:26
Imported:
2020-10

Content

Starting July 1st Patreon will start adding sales tax to your pledges. The amount they will add will depends on different tax laws of different counties and/or states where Patron (You) and/or Creator (like me) are located. 


My example:

Artworks that I create are (Downloadable) Digital Goods, and therefore taxable. However, only Patrons who live in Washington State (US) will be charged additional ~8% in Salex Tax. Everyone else will see no changes in their pledge to me... unless there are some different specific tax laws in other Countries or states that I don't know about yet.


Your pledges to other Creators may have different situation, so I can't say anything for them.

Comments

Anonymous

Phew dodged a bullet, living just south of Washington.

VectorBaker

They will never tax hentai, hell no, rise up gamers must

James Conway

FYI: Patreon has been charging patrons VAT (20% sales tax) in the UK for a long time now, regardless of creator. So this is not new for me! :( It's ridiculous because I have to pay VAT for creators who, for example, make YouTube videos, which are free to watch, so I'm not even technically paying for anything they create in such cases. The UK gov. gets the VAT, even if the creator is not in the UK. So some taxes certainly feel like theft.

aabsurdity

Each patron's local sales tax will apply, according to whichever place their pledging account is registered, and whether their local/national government has created a law to make that sales tax apply to online goods. So, EU citizens for whom this has already been applying for years will continue to pay their 20% tax on top of their pledge. Other patrons who live in places where such laws have been passed will pay their sales tax rate, and patrons who live in places no such law applies yet will continue to dodge paying their sales tax. All a bit annoying, but nothing new for us (ex-)EU folks.

lasagnalarry

IIRC the sales tax is going info effect on July 1st, not June 1st.

Linarian

I'm from europe, I've been paying 20% VAT on top of the pledge's amount