Brexit: How it impacts VAT for patrons and creators

  • Updated

Due to Brexit, the United Kingdom of Great Britain and Northern Ireland will no longer be classified as within the European Union beginning 1st of January 2021.

But for creators and patrons from these regions, fear not – we can confirm that we have you covered! You will see no obvious changes to any of our services, the flow of funds (including VAT collections), and none of your memberships will be impacted. For those of you who want further detail on how VAT at Patreon works, please continue reading this article.

Currently, all patrons within the EU are charged VAT in line with the rate set by their local jurisdiction. We are registered in Ireland for the EU VAT MOSS regime, which allows us to remit all of the VAT on EU patron pledges in one country – simplifying it for the whole trading block.

Once the UK leaves the EU they will no longer be part of the MOSS regime, and so require us to register and remit UK VAT directly to HMRC (UK Tax authority). From 1st January 2021, all VAT collected on UK patron pledges will be paid directly to the UK along with a UK VAT specific return.

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