Understanding tax on ticket sales – Eventbrite

In the U.S., many states and localities have introduced “marketplace facilitator” tax laws (herein referred to as “marketplace tax”). For the purposes of these laws, “marketplace” refers to a platform where buyers and sellers find each other to buy and sell goods or services. Eventbrite is considered a “marketplace” under some of these laws. These laws change how tax on your ticket sales is handled on Eventbrite. Instead of event creators, Eventbrite is now required to calculate, collect, and remit sales tax on the total amount charged to the attendee (‘buyer total’), unless you’re exempt from sales tax. Learn where Eventbrite is currently collecting tax on ticket sales.

In this article

Tax Calculation and Remittance
Transaction between You and Eventbrite
Transaction between You and the Attendee
How tax on ticket sales affects your payouts
Change who pays tax
If you or your event is exempt

Tax Calculation and Remittance

While tax rates and rules vary by state, county, and locality, tax on the buyer total is generally calculated by taking the buyer total multiplied by the jurisdiction’s tax rate.

Taxes are applicable based on the ZIP code of your event location. Please ensure your event location is correct.

Eventbrite remits taxes on a frequency as required by the tax authorities; this could be bi-monthly, monthly, quarterly, twice a year, or once a year.

TIP: Eventbrite is a two-sided marketplace where two separate transactions takes place in a given sale.

Transaction between You and Eventbrite

The Ticketing Fees we charge you are for a service we are providing you, not the attendees. The Ticketing Fees are deducted from your payout and reflected in your invoices. Eventbrite is responsible to collect, remit, and report the tax due on the Ticketing Fees we charge you.

Transaction between You and the Attendee

When you choose to pass on Ticketing Fees to the attendee, you’re increasing your ticket price to cover the fee. In this transaction, Eventbrite is responsible to collect, remit, and report on your behalf to the tax authorities the correct amount of tax due on the amounts you charge to your attendees.

How tax on ticket sales affects your payouts

Your payouts may be affected depending on how you’ve set up your tax.

If you add tax on top of the total price, you won’t notice any difference in your payout. The tax is added on top of the buyer total and paid by the attendee.
If you include tax in the total price, the buyer total includes tax. The tax will be absorbed by you and will reduce your payout.

If you change your tax settings after your event has gone live, all future ticket sales will follow your new tax structure. Previous orders won’t be affected.

Change who pays tax

You can stick with the default setting of adding the tax on ticket sales to your ticket price, or you can choose to include tax in the ticket price.

If you choose to include tax in the ticket price, the attendee won’t see a separate tax at checkout. Instead, the attendee will see a notice stating that the ticket price includes sales tax.