★ Full disclosure: Taxes
It looks like Patreon is being told to enforce taxes based on location, and it will be rolled out July 1st.
I am expecting that, as I do not sell physical goods via Patreon, most, if not all of my Patrons should be exempt. (I hope.)
That being said, I will be utilizing the Tax Settings mentioned in #4 to ensure that none of my Patrons are being taxed unfairly.
It looks like the Tax Settings will be live at the end of May 2020, and promise that I will be keeping an eye out for it so that I can do everything I can to save your hard earned money :\
(And while I know this isn't Patreon's fault, and more really just states/countries wanting their piece of the pie.....did it have to be now....? xD)
Comments (10)
Odd, Patreon have been charging me 20% VAT on my pledges for years now. I wonder why it's taken them so long to do this for everyone else?
Not 100% educated on this so it's mostly just a guess, but I think it's partially because VAT was a big deal and for a while everyone was talking about it, so it was implemented quickly. Other places may suddenly be wanting in now, and pushing harder, as the economy has been hit by Covid. :\ I can only guess as these are laws and rules pushed by the locations of Patrons, not Patreon itself, and the most recent major hit to the overall economy is Covid, so that's the best I can piece together :<
Sucks but I appreciate the heads up!
Honestly it sounds like BS from Patreon here and is an excuse to tap into a random money source like online purchases. If crowdfunding wasn't "profitable" then the opposite would be done. Not getting political but this would be "Politics 101" by squeezing more blood out of people for no real reason. Patreon fees all over again as it hurts everyone but Patreon.
If they're collecting such taxes I guarantee they're not keeping them. Governments /hate/ it when taxes don't actually get to them. It's unlikely they were just paying them out of pocket before, so they're at a point where they can't be ignored/avoided anymore without risking fines and court stuff.
Fortunately, I live in a state with no sales tax. It is really nice to walk into a place offering something for a dollar and you can get it if you have a dollar, you don't need a dollar and some change...
Eh, in Britain prices are marked including tax. Something is advertised for a pound, you spend a pound, just the store only gets to keep 83p of that. Having to work out the sales tax yourself sounds weird, they do that in states with sales tax?
I can't talk for the Eurozone, but I do know that many states in the US have service taxes. They're usually far less than retail taxes, at least. (Good that you're checking in on that, I wouldn't trust automatic detection even if done with good intentions and the best efforts.)
Yeah...I know nothing about all that stuff, but so far it looks like services may still count.... (https://cdn.discordapp.com/attachments/369497860431020034/707687618942599218/unknown.png) Will do everything I can to reduce taxes for everyone! (Vote NK for President xD)
The current economic situation is exactly WHY they are choosing to enforce it now. Gov is trying to pull money where it can find it.