This page describes MoR mode. Suby also offers a PayFac mode, where you remain the seller of record and handle your own tax compliance, see What is PayFac?. Which mode your account runs on is assigned by Suby during onboarding, see Review Process.
What a Merchant of Record Does
A Merchant of Record (MoR) is the legal entity that sells the product to the customer, calculates, collects, and remits international sales taxes (VAT, GST, US Sales Tax), assumes regulatory and tax liability for the transaction, and handles chargebacks and fraud liability.Without a MoR, you are responsible for all of this yourself, registering for tax in every jurisdiction you sell into, filing returns, and absorbing compliance risk. This is the case on Suby’s PayFac mode.
PSP vs MoR vs Suby
PSPs (e.g. Stripe)
Low-level APIs and maximum flexibility, but you remain liable for international tax compliance. You must register, file, and remit taxes yourself. This is comparable to Suby’s PayFac mode.
Traditional MoRs (e.g. Paddle)
Handle compliance but often come with higher fees, less flexibility, and limited payment method support.
Suby, MoR mode
Suby itself acts as the licensed Merchant of Record for your transactions. Automated tax handling and compliance coverage without giving up control over your billing infrastructure or payment methods.
How Suby Handles Compliance
In MoR mode, Suby itself is the Merchant of Record: the legal seller of your Products to your customers. We handle card payments, stablecoin payments, Discord and Telegram integrations, and recurring billing on top of that role.1
Tax handled automatically
Suby handles tax registration, collection, and remittance across 190+ countries, as the entity legally responsible for the sale.
2
No liability for you
You are not liable for international tax registrations or filings on these sales.
3
Compliance abstracted
Suby absorbs the compliance layer so you never interact with it directly.
You remain responsible for your own income and corporate tax in your jurisdiction.
What This Means for You
Always compliant
Every transaction is tax-compliant automatically. You never register for foreign VAT or GST, and you never file tax returns in markets where you sell.
Correct pricing everywhere
Customers see the correct tax-inclusive or tax-exclusive price at checkout based on their location.
Chargebacks covered
Chargebacks and fraud liability are handled at the infrastructure level, within the limits described in your terms.
Focus on your product
You focus on building and selling. We handle the legal and compliance layer underneath.
Taxes & VAT Handling
The technical detail of how tax is calculated, collected, and remitted in MoR mode.
MoR Fees
Pricing for MoR mode: 4% + $0.40 per transaction.
Supported Countries
Where Suby’s checkout is available and which regions are restricted.
Acceptable Use Policy
Which business types are supported and which are not.