Very true.
However, itch could make a high profit off of this- especially if they take the tax interview and charge a 10% commision. Many people want to buy games, and accepts payments, but they don't have a PayPal account.
For this reason, I think itch could make a more than decent profit.
However, you have been in itch for much much longer than I, and you know way better :)
Itch is a store. If you buy here, by whatever means and with whatever currency, wallet system, imaginary Itch-Coins or whatever, taxes are due.
They are due if someone buys your game and they are due when you buy assets.
So you would still need to complete a tax interview, before you can pay with your Itch-points. No matter if you pay out to yourself, or buy things on Itch again. What you would save however, is transaction fees from payment providers.
There might be some games where you can buy in, and shift ingame currency around between players. I guess those circumvent the tax issue, because you can not pay out. The games where you can pay out however, that's taxable income and might get complicated.
No no, itch.io would do the tax interview. At the end of the day, you don't own them; itch does. That's why itch has to take a percentage away... that, and because this system would be hard to implement. Importantly, because of this, I think itch could make money off of this. It could be another way to support them for being such a great platform for indie devs.
