Tax inclusive pricing will be rolled back temporarily on September 16th, with plans to launch a version that gives creators more control over their tier pricing, before the end of 2020.
Why are you rolling this back?
We received meaningful feedback from creators that the fractional pricing displayed once tax was applied to tiers made them feel like they had no control over their tier pricing, it was also a sticking point for some creators who had not yet launched their page. Tier prices are an important part of a creators’ branding on Patreon, and we want to find a way to give creators more control over this as well as show tax inclusive pricing to audiences who expect it.
What further changes can we expect with tax inclusive pricing?
By the end of 2020 we expect to have a tax inclusive pricing solution that gives creators more control over how their tiers are displayed to global audiences. Our goal is to create as little disruption as possible, while also carefully taking creator feedback into account.
Is there any tax risk for creators?
There are no tax implications for creators, as tax is still displayed at checkout. We are committed to delivering a tax inclusive pricing solution that gives creators more control before the end of 2020.
What about the legality issues of tax inclusive pricing?
Legally, we are required to show the total price at checkout, which we already do. Providing audiences in the specific countries listed below with tax inclusive prices up front is an expected behavior that we are working towards.