Payhip to Handle US and Canada Sales Tax Automatically Starting July 1

Payhip announced it will become entirely responsible for collecting and remitting sales tax across all US jurisdictions and Canada effective July 1, 2026, citing marketplace facilitator laws and Canadian digital platform operator rules as the legal driver. This change eliminates what was previously the single largest cost barrier for indie authors considering direct sales—previously, authors using platforms like Shopify had to pay approximately $50/month combined for the storefront and a third-party service like TaxJar to manage compliance across 400+ US tax jurisdictions. Since Payhip charges no monthly fee and takes a percentage lower than Amazon's cut, the math now strongly favors direct sales even for mid-tier indie authors. The platform also integrates with BookVault for print-on-demand fulfillment and BookFunnel for e-book and audiobook delivery, enabling a near fully-automated direct sales pipeline where authors can keep approximately 90% of revenue versus roughly 50% on Amazon. The feature is not new—Payhip reportedly offered sales tax handling years ago before discontinuing it, making this announcement a reinstatement of a previously removed capability rather than a novel innovation. Watch Author Update Live at 4pm (Central) on Fridays:    / @author-update   Support us on Patreon:   / novelmarketing   Patron Toolbox (Author AI Tools): https://www.authormedia.com/patron-to... Novel Marketing Channel:    / @novel-marketing   Author Arsenal Channel:    / @author-arsenal   Join the AuthorMedia.social Community: https://authormedia.social/feed Hosted by Thomas Umstattd Jr. and Jonathan Shuerger. Subscribe for weekly publishing industry analysis, author marketing strategies, and tech insights you can actually use. Visit AuthorMedia.com for show notes, tools, and resources. #AuthorTube #PublishingNews #AINews