How Sales Tax Collection Works on Uscreen
Uscreen is required to collect U.S. state and local sales tax on the platform fees we charge in certain states. This article explains what that means for your account, why it's happening, and what (if anything) you need to do.
Common Questions
Why is Uscreen collecting sales tax?
Following the U.S. Supreme Court's South Dakota v. Wayfair decision, U.S. states gained the authority to require digital service platforms to collect and remit sales tax based on customers' locations, regardless of where the platform is based.
Uscreen is legally obligated to collect sales tax on the services we sell to customers in those states. This is standard practice across the SaaS and creator economy industries.
Uscreen collects this tax and remits 100% of it to the relevant state — we don't retain any portion.
Who is being charged — me or my members?
You are. The sales tax is applied to the platform fees Uscreen charges you, based on the billing address on your Uscreen account. It is not a tax that Uscreen adds to your members' subscription charges.
Your members will not see a new tax line item on their charges from your channel as a result of this change. For information about charging taxes to your own members, check out our documentation here.
Will my subscribers see a price increase?
No, your subscribers' subscription prices are set by you and are not affected by Uscreen's sales tax obligations. Unless you choose to raise prices yourself, your subscribers will pay exactly what they're paying today.
Which states are affected, and at what rate?
Sales tax is currently being collected on Uscreen platform fees for accounts with billing addresses in the following states. Rates are approximate; the exact rate depends on the local jurisdiction within the state.
State | Approximate Rate |
Arizona | 5.6–11.2% |
Maryland | 6% |
Massachusetts | 6.25% |
New York | 4–9% |
Ohio | 5.75–8% |
Pennsylvania | 6–8% |
South Carolina | 6–9% |
Tennessee | 7–10% |
Texas | 6.25–8.25% |
Utah | 4.85–8.7% |
Washington | 6.5–10.4% |
Tax obligations change as states adopt new legislation. We'll update this article as additional states are added.
How will the tax appear on my invoice?
Sales tax appears as a separate, clearly labeled line item on your Uscreen invoice — it is not bundled into the platform fee. Your underlying Uscreen subscription price has not changed; the tax is added on top.
What about application fees on connected accounts?
If you use a connected payment account, the application fees Uscreen collects at the time of transaction will now be tax-inclusive. This means the applicable sales tax is already factored into the application fee — there is no separate tax line item for those charges. The total amount Uscreen takes is the same as before, plus the applicable tax, calculated automatically.
Will I be charged back taxes for prior periods?
No. Sales tax collection applies going forward only, beginning [DATE]. We are not retroactively charging tax on any prior billing periods.
My organization is tax-exempt. What do I do?
If your organization holds a valid state-issued tax exemption certificate, you can apply to have sales tax removed from your Uscreen account.
To submit a tax exemption request:
Locate your valid state-issued tax exemption certificate.
Send us an email with your certificate to billing@uscreen.tv
Once we receive and verify your certificate, we'll apply the exemption to your account.
The exemption applies going forward from the date it is approved on your account.
What if my billing address is wrong or out of date?
The tax rate applied to your account is determined by the billing address on file. If you've moved or your billing address has changed, please update it so we can calculate the correct rate (or confirm no rate applies).
To update your billing address:
Log in to your Uscreen admin account.
Click your account name in the bottom-left corner.
Go to Billing → View Billing Invoices & Billing Details.
Under Billing Information, click the option to update your information.
If your address change moves you out of an affected state, sales tax will no longer be applied to your next invoice once the change is reflected on your account.
We strongly recommend consulting a tax professional to determine whether your business has any additional tax obligations.