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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.

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 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 your support.

Comments

Tinhy

PR i believe dodged that bullet. Thanks for the links with the info Kar

Nick Davis

So June 1st on most pledges and july first on all pledges? Your main post says June but the letter says July

BJakin

I am confused about what type of pledges are taxable.

karmagik

I'm not totally sure either, to be honest. Basically I have added all of the benefits of each tier to those tiers. I believe some things are taxed and some are not. So if there are say, two benefits, one taxed and one not, then my understanding is that only half of your total pledge will be taxed.