JULY 1 - SALES TAX update (Patreon)
Content
(copied from another Patreon because of their excellent words!)
Hello patrons,
Just writing to give you an update on some changes on Patreon which may affect some of your pledges because of taxes - you know, the opposite of comedy.
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 for these taxes are paid directly to local governments. As most of our benefits are digital only we don't believe the sales tax should be too high for any of you (we hope).
If you’re in a location where sales tax will be required, you should receive an email from Patreon with more information about this but we wanted to make sure you were aware of these changes 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. I kindly recommend you don't ask me, I don't know anything about taxes, I am not a good role model in this regard, but the Patreon staff should be able to help you out.
Thank you so much for all your support and sorry for the hassle.
Love,
Karis