Hello all, Does anybody know how the calculation of the gross revenue works? My app has a list price of 12,80 EURO the gross revenue on the sales report is 11.13 EURO. So obviously they subtracted 15% VAT. I m located in Germany where we have 19% VAT. My customers are also located in Germany. I need to report my sales to our tax authority and I can hardly tell them that I decided to only pay 15% VAT! Also, the Appstore App does not show the VAT to the customer! I dont know the laws in the US, but in Germany this is completely illegal !! If would be happy, if another developer from germany could tell me how to fix this soon! Otherwise I have to withdraw my app! Thanks!
I already wrote an eMail! I m still waiting for an answer! Ok the questions are: 1) Why does Amazon keep a VAT of 15% for countries where the VAT is 19%? 2) Because Amazon subtracts the VAT from the list prices, Amazon also has to pay it to the tax authorities in each country. Now how will you pay 19% VAT in Germany when you only keep 15%? 3) How do you think I can explain that mess to my tax authority? I didnt find an answer for any of the above questions in your FAQ! It would be nice to have an exact description of such an important process! Thanks!
Hi Alex, For any Amazon Marketplace in which we display purchase prices inclusive of VAT or similar taxes, the list price is inclusive of those taxes. However, you will be paid a royalty calculated using the list price exclusive of those taxes. For example, if the list price for your app in an Amazon Marketplace is 1.15 Euro and that Amazon Marketplace displays prices to customers “ inclusive of 15% VAT,” the list price used for the calculation of the royalty is 1.00 Euro. Thank you for posting.
Hello, I've started selling apps on Amazon App Store (I love the whole thing), and I've finally reached the payment threshold. However, I wasn't aware, that Amazon takes away taxes. Can you please verify that I understand this correctly: My apps are sold for 0.99 USD. Amazon keeps 30% which leaves me with 0.69 USD Since I'm from Slovenia, another 30% is taken away for US taxes - my nett earning is 0.48 USD I also need to pay taxes is Slovenia (now 22%) - so another 22% is taken away from 0.48 USD? This would leave me with 0.37 USD per sale or 0.27 EUR. The closest explanation as to why 30% is taken away for taxes (in my case) is this:
https://kdp.amazon.com/self-publishing/help?topicId=201274690 [b] My questions are: [/b] 1) Is my understanding of the whole process correct? 2) I'm a citizen of Slovenia (EU) and if I open a business bank account in Austria (EU), will I be eligible for only a 10% tax reduction? Thank you very much. EDIT: I've also sent the question to the support team. Message was edited by: lemming2040