Payments & payouts
Sales tax
How marketplace facilitator collection works on SCRAPD.
SCRAPD handles sales tax for you
Where applicable law designates SCRAPD as a “marketplace facilitator,” SCRAPD calculates, collects, and remits sales tax on behalf of creators. That means as a creator, you do not file sales tax returns for sales made through SCRAPD in those jurisdictions.
How tax is calculated
Sales tax is computed at checkout based on the buyer’s shipping address and applicable state and local tax laws. The amount is shown to the buyer before they pay.
What creators ARE responsible for
- Income taxes on your earnings
- Self-employment taxes
- Sales tax in any jurisdictions where SCRAPD is not required to collect
- Any state or local business licensing required where you operate
1099 tax forms
Stripe issues 1099-K forms to creators meeting IRS thresholds. You can download these directly from your Stripe Express dashboard.
Not legal or tax advice SCRAPD does not provide tax advice. Consult a qualified tax professional about your individual obligations.
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