Rare announced the death tax on their forum, detailed here: "This new feature has the Captain of the Ferry of the Damned deduct a small gold fee when you die", the post read. If you want to get into details, there is a more specific merchant cheat sheet that can help you get more important locations.
Sea of Thieves is now available on Xbox One and PC. That's probably also due to the fact that massive stashes of loot hardly make a dent in the prices Rare is charging for the in-game cosmetic items you're able to purchase with gold - the game's only true sense of meaningful progression. "We will share an update on this and the other top feedback points and our thoughts on them later this week".
Sea of Thieves is the big new title released as part of Microsoft's Xbox Games Pass.
Rares Executive Producer, Joe Neate, announced on Twitter that the team at Rare have "heard the feedback" from the idea and have concluded that "the proposed "Death Cost" in Sea of Thieves is, well, dead".
The update would have added a feature where players would lose gold when respawning after a death. Neate went on to thank players for "the honest feedback & discussion on this" subject. That page has an unusually terse message stating that the issue is being worked on, and the official Sea of Thieves Twitter account also states as much: "Our team are now investigating an issue affecting Game Pass players and are working to resolve it as soon as possible".