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Tax Status Suddenly Invalidated

A topic by Alicia Furness created Jan 28, 2023 Views: 474 Replies: 6
Viewing posts 1 to 4
(1 edit) (+4)

My payouts have been delayed and when I went to see why, I discovered that my tax status has suddenly changed to invalid. I completed the tax interview originally in 2019, and have had monthly payouts since with no issues. 

Now I can’t get any payouts and the ones that are pending suddenly have the 30% withholding applied as well (previously it was 0). 

I was prompted on the tax page to redo the tax interview so I did. But now it only says pending validation, and support won’t answer emails. 

How can I get this escalated so I can get paid? I ran an Itchfunding campaign and need access to that money to pay my freelancers. 

I know of at least one other Canadian with the same problem that seems to have developed at the same time. This is not isolated. 

Admin (2 edits) (+2)

Tax information collected after a certain number of years must be re-collected to ensure everything is up-to-date. The third-party we use for tax collection had set the status to “Invalid” in their system creating the confusing message. We’re working on updating the communication on the payouts page to make it more clear what has happened. If you re-completed the tax interview then you should be good to go when one of our team members gets to your payouts again when they are reviewing for payout.

Now I can’t get any payouts and the ones that are pending suddenly have the 30% withholding applied as well (previously it was 0).

The withholding rate should reset back to what it was once our team gets a chance trigger the re-verification of your information, assuming you fully completed the tax form.

Thanks for your patience.

Can you check what's going on with my validation by any chance? It's been quite some time and I get no response from support nor in this forum. 

Admin (2 edits) (+1)

I replied to your other topic. Please try to avoid hijacking other people’s topics with your own issues. Make sure to read the rules before posting a topic as well, as we have requirements around posting for account specific help.

The issue you are having is not related to the issue this person is having, which is why we prefer to have individual requests in their own topics.

Thanks

(+5)

you should update the tax information page then, which explicitly says the tax interview only needs to be done once. 

I hope that pending payouts for people in this situation will be made a priority, as some of us have already been waiting for several weeks. 

I would also suggest that notices be sent to people when they need to redo their tax information, which is something that other platforms do. 

(+1)

I am retuning to say that my tax status has been pending validation for a week. Someone I spoke to was told by support (who still haven’t responded to my ticket of urgent follow up) that validation should take 48 hours. 

I find these delays and lack of communication to be wholly unacceptable. 

Admin (3 edits) (+1)

We use a third party to process tax information, so unfortunately once we’ve handed validation over to them there is nothing we can do it influence how fast it is completed. Generally it happens pretty quickly but the exact duration is outside our control. Once your information is validated then payouts will resume as normally.

Thanks for understanding.

(Note: In the future if you can click “Reply” under my post, I’ll get notified of your responses. Posting directly in the top level of your own topic will not notify anyone of your responses. Thanks)

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