Currently Being ModeratedJan 21, 2012 3:36 PM (in response to certainan)
I'm not sure about Apple's particular requirements when doing business with foreign entities. However, I'm an Aussie with a few years experience owning a foreign company that does business with other companies in the US.
Basically, Apple is required by the IRS to declare payments made to all third parties, domestic and foreign. If you're a US citizen, Apple needs to tell the IRS your Social Security Number (SSN) and how much they paid you across the financial year. If you're a US Sole Proprietor, you can still use your SSN for your business. If you're a US company and you are not a Sole Proprietor, you'll need an EIN.
Now, if you're a foreign business that chooses not to pay tax in the US (your own country's tax treaties with the US will determine what your options are there), need to provide a Form W-8BEN, which is a 'Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding'. This form eleviates Apple of the obligation to withold tax from your earnings. It replaces the Form 1099/W-9 system they work in the US. http://www.irs.gov/pub/irs-pdf/fw8ben.pdf
Of course, Apple may have another system in place entirely to avoid dealing with tax and foreign entities (e.g. by not allowing it ;-)).
Currently Being ModeratedMar 30, 2012 4:27 AM (in response to xanthoxylum)
That's not so for non-US residents where the country has a tax treaty with the US, like the UK does. It's easier. Call the IRS non-US resident phone number and tell them you want to apply for an EIN. They take your info, give you the EIN over the phone and then it arrives by post as well in about 2-3 weeks. You can't use the EIN straightaway after the phone call because it isn't on the IRS database at that point, so an iTunes Connect application would be rejected. Wait a week or so, then apply, remembering to remove the hyphenation from the EIN when you input it into Apple's form.
The EIN means you will be liable for tax in your own country and not the US.
Currently Being ModeratedApr 1, 2012 12:08 AM (in response to spicycauldron.com)
I don't suppose you'd have that number handy?
I Googled for ti but I seem to get a bunch of companies wantign to charge me money for getting me the EIN :-)
Currently Being ModeratedApr 1, 2012 1:15 AM (in response to spudmachine)
Yeah, there are many. It's on the IRS pages, here's the relevant section:
Apply By EIN Toll-Free Telephone Service
Taxpayers can obtain an EIN immediately by calling the Business & Specialty Tax Line at (800) 829-4933. The hours of operation are 7:00 a.m. - 7:00 p.m. local time, Monday through Friday. An assistor takes the information, assigns the EIN, and provides the number to an authorized individual over the telephone.
Note: International applicants must call (267) 941-1099 (Not a toll-free number).
Obviously enough, don't call the first number, call the second and remember to dial 001 before the number. Be ready with your sole trader info - address, phone, name of business, type of business. You might be held in a queue for quite a while. I was 20 mins on hold, 5 mins getting sorted. Have a pen and paper ready to note your new EIN down but don't forget - wait a week at least before then applying to get an iTunes Connect account, to allow time for your EIN to be entered onto the IRS database which Apple checks to validate you.
This is ALL you need to do outside the US - plus whatever tax requirements are internal to your own country.
Currently Being ModeratedApr 1, 2012 1:18 AM (in response to spudmachine)
By the way, that call wasn't too costly. I phoned just after 6pm UK time and it cost me just over a fiver from a BT landline.
Currently Being ModeratedApr 1, 2012 6:54 AM (in response to spicycauldron.com)
That's great info - many thanks, spicy!
Currently Being ModeratedJun 25, 2012 2:04 AM (in response to spicycauldron.com)
I wish I would have read your advice about waiting one week after getting the EIN (non-US).
I made a paid account with this number, and upoloaded my ibook than with Producer (looged in with the paid account)., expecting it would be recoginzed as paid book. But it appeared in the free section ;-(.
Now I deselected the rights for all countries to stop it.
Could you tell me please how to change the status from fre to paid? If you don't know that could you tell me how is the process after "validation" of the paid account? Is there another version of "Producer"? It must be different I guess since a sample vesrion (multi-touch) has to be uploaded etc..
Currently Being ModeratedJun 25, 2012 2:12 AM (in response to thomas-bode)
Just remove it in iTunes Connect and resubmit. It can't be changed when live on the iBookstore. When you upload from iTunes Producer take great care reading all the options. Include screenshots to Apple's specifications and a sample chapter. Any questions, there is help from Apple you can either find online or by emailing them with a query - but my best advice is don't rush, take your time, read the documentation you can download when logged into iTunes Connect in your web browser and do that before you upload. And breathe calmly. :-)
Andrew Hinkinson-Hodnett, author, Chickens As Pets - available via iTunes and the iBookstore.