Sales Tax on Patreon for Members

  • Updated

Patreon adds sales tax, VAT, or other similar taxes to member payments in parts of the United States and several other countries as required by law. Review which countries sales taxes apply to, here: List of locations where Patreon is collecting sales tax

Patreon is required by law to add sales tax (including VAT, GST, or other similar taxes) to some pledges made by members. Tax laws in many countries and US states have evolved in recent years to require online marketplaces such as Patreon to apply sales tax/VAT to transactions which take place via their platform.

The article and FAQs below include details about how sales tax applies to Patreon and what you need to know.


Who will pay sales tax?

Whether or not you will pay sales tax/VAT as a member depends on where you are located, and what benefits the creators you support are providing. The laws and tax rates in effect in your country of residence will be applied whenever you pledge to a creator through Patreon, whether that’s monthly, annually, or per thing, if the benefits offered are taxable in your location.

If Patreon is charging sales tax in your location, an additional line item will be listed on your receipt. Since tax laws and rates vary from country to country and state to state, the amount will be different for different members. The tax that Patreon collects as a result of these laws will be paid directly to your local government, and there are no Patreon fees on this portion of your payment.

About sales tax

Should sales tax apply to Patreon? Is supporting a creator on Patreon the same as making a purchase?

Different jurisdictions will consider different things taxable. If you receive a benefit in return for your pledge, it is likely that it will be subject to tax. For example, many places have passed laws that make streaming content taxable so in those places and platforms, streaming video and audio would be subject to tax.

If you are not receiving any benefits, the payment may not be taxable. For example, if you pledged an amount in excess of your set tier price, or you have given a pledge that falls outside of a set tier, your pledge could be deemed to not have any benefits associated with it.

One notable exception is the EU, where we are currently required to apply tax (VAT) on all payments regardless of whether the member is receiving any benefits. We are working with EU tax authorities to secure reductions and exemptions for support-based payments in the future.

It is also useful to remember that different jurisdictions approach digital content differently and what one country deems a benefit may not be consistent with the views of another country.

I thought sales tax was only applicable on tangible goods?

The laws about what is taxable vary by location, but in many places, digital goods and content are now taxable, both downloadable and sometimes streaming.

What about if I support a creator without pledging to a specific tier?

Some members may decide to pledge outside of your set tiers. For example, you may have pledged an amount above the set tier price or the creator has given you the option to pledge without receiving pledge benefits. In many jurisdictions, this amount would be akin to a “tip” and treated as non-taxable. However, in other jurisdictions is not possible to treat this “tip” as not taxable.

Supporting a creator on Patreon can be similar to making a purchase if the member simply wants a way to pay money for content or tangible items you’re offering. But many members are also motivated by the idea of supporting content/art they care about. Since memberships can include both motivations, creators can use advanced tax settings to tell us how much supporting their work is a motivation for members by using categories such as "general support."

Can creators absorb the cost of sales tax so that it’s not an additional charge for the member?

Some creators would prefer this and we wish we could provide this option, but in most jurisdictions, we are not legally allowed to include sales tax in the pricing. It must be broken out as a separate line item and added on top of the base price.

I thought sales tax was only applicable on tangible goods?

The laws about what is taxable vary by location, but in many places digital goods and content are now taxable.

Details on Sales Tax: How it works in different regions and how that applies to Patreon

Which benefits on Patreon will be considered taxable?

Outside of the United States, it is common for all electronically supplied services and physical goods to be subject to tax. Within the United States, what’s taxable varies greatly by location. As a rough guide, we’ve broadly sorted benefits into 5 categories that are each taxed differently.

Typical Benefit Type Examples U.S. Status
Donations/Support Support only. Languages such as "pledges whatever" Currently exempt from Sales Tax in the majority of states
Recognition Shout-outs, names in credits Exempt in the vast majority of states
Exclusive Community Access Member-only posts, Discord, server access, polls Taxable in roughly half the states
Streaming Content Extra podcast episode per month, videos, bonus content Taxable in roughly half the states
Downloadable Digital Goods PDFs, computer game builds, downloaded color pages Taxable in roughly half the states
Physical Goods Candles, T-shirts, mugs, mailed coloring pages Taxable in all states in which Patreon is collecting, unless the item is a one-time thank-you gift

Where is Patreon collecting tax, and what are the tax rates?

Patreon continues to monitor laws governing the sale of online content and creation and will continue to update our platform to ensure sales and pledges made through Patreon comply with local tax laws.

Country What sales tax is called Tax Rate
Australia GST 10%
Canada (Alberta) Federal GST


Canada (British Columbia) PST + Federal GST 7% + 5%
Canada (Manitoba) RST + Federal GST 7% + 5%
Canada (New Brunswick) Federal HST 15%
Canada (Newfoundland and Labrador) Federal HST 15%
Canada (Northwest Territories) Federal GST 5%
Canada (Nova Scotia) Federal HST 15%
Canada (Nunavut) Federal GST 5%
Canada (Ontario) Federal HST 13%
Canada (Prince Edward Island) Federal HST 15%
Canada (Quebec) QST + Federal GST 9.975% + 5%
Canada (Saskatchewan) PST + Federal GST 6% + 5%
Canada (Yukon) Federal GST 5%
Chile VAT 19%
EU VAT Varies by country - see EU Vat list below
Iceland VAT 24%
India GST 18%
Indonesia GST 10%
Malaysia Service Tax 6%
New Zealand GST 15%
Norway VAT 25%
Saudi Arabia VAT 15%
Singapore GST 8%
South Africa VAT 15%
South Korea VAT 10%
Taiwan VAT 5%
Thailand VAT 7%
Ukraine VAT 20%
United Kingdom VAT 20%
United States Sales Tax (see list of States where Patreon is collecting Sales Tax below) Varies by State/Zip code

* In certain jurisdictions, a reduced rate of tax may apply to certain supplies such as digital publications (e.g. ebooks). Those rates are not listed here.

** To comply with local laws, there are some countries or regions where we do not charge VAT/GST to members who are supporting a creator located in the same country as them. However, if those members support creators in other countries, they may still be charged VAT/GST on those pledges if the benefits they receive are taxable in their country. Such regions where we do not apply VAT on pledges made intra-jurisdictionally include: Belarus, Quebec, and Australia. For more details about this, please refer to this section: Sales Tax FAQs for Australian creators and members

EU VAT -  country breakdown

Country VAT Rate
Austria 20%
Belgium 21%
Bulgaria 20%
Croatia 25%
Cyprus 19%
Czech Republic 21%
Denmark 25%
Estonia 20%
Finland 24%
France 20%
Germany 19%
Greece 24%
Hungary 27%
Ireland 23%
Italy 22%
Latvia 21%
Lithuania 21%
Luxembourg 17%
Malta 18%
Netherlands 21%
Poland 23%
Portugal 23%
Romania 19%
Slovakia 20%
Slovenia 22%
Spain 21%
Sweden 25%
* In certain jurisdictions, a reduced rate of tax may apply to certain supplies such as digital publications (e.g. ebooks). Those rates are not listed here.

United States - state breakdown

States where Patreon collects sales tax States where Patreon does not collect sales tax
Alabama Nevada Alaska
Arizona New Jersey Delaware
Arkansas New Mexico Montana
California New York New Hampshire
Colorado North Carolina Oregon
Connecticut North Dakota  
District of Columbia  Ohio  
Florida Oklahoma  
Georgia Pennsylvania  
Hawaii Rhode Island  
Idaho South Carolina  
Illinois South Dakota  
Indiana Tennessee  
Iowa Texas  
Kansas Utah  
Kentucky Vermont  
Louisiana Virginia  
Maine Washington  
Maryland West Virginia  
Massachusetts Wisconsin  
Michigan Wyoming  
Minnesota Missouri  

What is the rate being charged?

As referenced above, whether you are taxed, and at what rate, depends on both your location and the types of benefits the creator is providing in the tier you have pledged to.

Within the United States, rates currently range from 4% to 11%. To make things more complex, some locations tax certain things while others don’t (e.g. - “physical goods” vs. “digital downloads” vs. “digital streaming”). Outside of the United States, rates range from 5% to 25% in the countries where Patreon will charge and pay sales tax.

It is important to understand that tax rates and rules change frequently. Patreon partners with local experts to ensure that you are taxed at the current rate for your location and the benefits being provided.

Will more states/countries start requiring Patreon to charge sales tax in the future?

Yes, it's very likely. We expect more states and countries will attempt to pass similar laws or regulatory changes in the future. We are constantly monitoring our and creator obligations and will keep this page up to date and with as much warning as possible.

How will US Sales tax work for a creator that charges ‘per thing’?

Sales tax applies to each transaction. For members that pay per thing, if they are in a location that requires sales tax, and the thing the creator offers is taxable in their location, they will find sales tax applied to each monthly transaction where the creator posted a ‘thing’ during that month and the member paid for it.

Is there a way I can find out how much sales tax is being collected on my pledges?

Yes. While logged in, click on the Settings button from the left navigation and then click on the More dropdown to select Billing history. Click the Billing Details button for an individual pledge to see how much sales tax, VAT, or similar tax was applied. 

Should members in Australia that support a creator in Australia be charged GST?

We’ve been in touch with tax authorities in Australia to help clarify this point, and we’ve updated our help articles to make it clear that we will not apply GST on pledges from members in Australia who support creators in Australia. However, if those members support creators in other countries, they may still be charged GST on those pledges if the benefits they receive are taxable in Australia.

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