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US TAX ID - The Big Dilemma

42295 Views 169 Replies Latest reply: Feb 21, 2014 11:59 PM by vinnyvg RSS Branched to a new discussion.
  • AshDav Level 1 Level 1 (0 points)
    Currently Being Moderated
    Feb 26, 2013 2:45 PM (in response to GoGoByronBay)

    Your best bet is to publish with an aggregator like Tablo Publishing. They publish with iBooks, they'll assign ISBNs, manage royalties, you get full online sales reports and your book will be live within a few days.

     

    You'll only need a PayPal email address too. Makes life a lot easier!

  • GoGoByronBay Calculating status...
    Currently Being Moderated
    Feb 26, 2013 2:48 PM (in response to AshDav)

    OK Thanks Ash, I'm checking it out now. I already have the ISBN and have done some initial leg work so will see how well it fits.

  • vinnyvg Level 4 Level 4 (1,550 points)
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    Feb 26, 2013 10:34 PM (in response to AshDav)

    I wonder if any forum member has actually used this - or similar services and can pass their exepriences.

     

    I can understand they want some fee's upfront - but hearing from folk who have trodden the path may  give a better insight.

     

    I note one comment on their website about    "....some European countries may deduct a local tax......"

    If their service identified those countries... perhaps, as in  iTunes Connect they  could give the  author an option to remove that country from their selling and territory rights.  just a thought....

  • julicalder Calculating status...
    Currently Being Moderated
    Feb 28, 2013 4:27 AM (in response to vinnyvg)

    Lets work on an example in which we might clarify some of the regular questiones mainly for US citizens and small companies that can apply to sell on iBookstores. i say mainly because Non-US citizens information can be found in many different sites already and is pretty accurate.

     

    On an easy example for a sale of $10 iBookstore comission will be 30% of the Gross, so we will be earning $7.

     

    As vinnyvgposted on late October 2012, IRS taxes goes on the gross too, this is important.

    The IRS % is variable i believe but i am not sure a small company which % (aprox) will be paying of the $10 example.

     

    At the same time, Apple's cost (Comissions taken / paid may qualify to be claimed back as a cost of sales ( an expence incurred) so a small company paying for example 15% tax will represent $1.5 eventually should be able to claim part of the 30% for cost of sales but at this moment is a cost.

     

    If we keep on this 15% tax example (please correct me if my numbers ar wrong) this means that

    total cost for selling a $10 book is 45% (30 for Apple + 15 for Taxes), generating a profit of $5,5.

     

    Bank costs etc are not considerated in this -very- basic calculations.

     

    So, how does  small company (2/5 employees can understand IRS taxes that are applied to them? Is there something better that the bored and not very friendly IRS wiki information?

     

    Is there anyone around who can confirm that apple costs was successfully claimed as an expence and share their experience?

     

    thanks

    J

  • jlc1978 Calculating status...
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    Feb 28, 2013 4:39 AM (in response to julicalder)

    Qoute:

     

    The IRS % is variable i believe but i am not sure a small company which % (aprox) will be paying of the $10 example.

     

    At the same time, Apple's cost (Comissions taken / paid may qualify to be claimed back as a cost of sales ( an expence incurred) so a small company paying for example 15% tax will represent $1.5 eventually should be able to claim part of the 30% for cost of sales but at this moment is a cost.

     

    If we keep on this 15% tax example (please correct me if my numbers ar wrong) this means that

    total cost for selling a $10 book is 45% (30 for Apple + 15 for Taxes), generating a profit of $5,5.

     

    It really depends on what Apple reports on the 1099 form. If the include their cut then the 30% is a deductable business expense and you wind up paying tax on the net; my guess is they report net payments to you and so your 1099 would should $7 and that is what you get taxed on, less any other deductable expenses.

     

    Quote:

    So, how does  small company (2/5 employees can understand IRS taxes that are applied to them? Is there something better that the bored and not very friendly IRS wiki information?

     

    Any business should have an accountant doing their taxes. They aren't expensive; especially when you consider the hassle of keeping up with tax laws.

  • SagittariusAmy Calculating status...
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    Apr 5, 2013 8:42 PM (in response to Radoslav)

    Hey! I'm living in Singapore now. But I have no idea what's U.S. Tax ID. It's just creating to sell. What is there for to write U.S. Tax ID ? Is so troublesome @-@ !!!!!!!!

    I just want to get my song album. That simple!

  • john buck1 Level 1 Level 1 (65 points)
    Currently Being Moderated
    Apr 7, 2013 6:39 PM (in response to vinnyvg)

    vinnyvg and co

     

    i have published books using amazon, scribd, bookbaby and tablo and can say

    that my experience with tablo in publishing for apple devices was the best.

     

    i prefer tablo's simplified process of submitting books and tracking their progress, all in plain english

    from a very modern web site.

     

    tablo charges you a small fee to

    - get an ISBN

    - deal with the IRS as a non-american taxpayer

    - and iTunes as a small publisher

     

    and that's worth it, IMHO.

     

    john

    enrichedbooks.com

  • vinnyvg Level 4 Level 4 (1,550 points)
    Currently Being Moderated
    Apr 7, 2013 9:14 PM (in response to john buck1)

    Tablo .....

    This and other have been mentioned  on the forum at  some point.

     

    Tablo, -  I suppose it depends on your outlook and expectation of the returns from your publlication(s)

     

    Tablo want $99 to publish one book to the bookstore. A third option is $599 for 10 books.

    I suggest most of "us"  will have at least 10 books either made or in process or in anticipation, making the $600 outlay seem reasonable, but I  would not call it a "small fee".

     

    I have pulled 12 books off the iBookstore ( free section and a total of 1097 downloads in 12 weeks) and  using the "Book Creator" iPad app  have converted them so I can sell them from  my websites. That way I may have far less global presence - but as I target a specific sport and time period.. punters are more likely to find the webiste
    (via Google etal ) than a single book in the store.

     

    Taking  it a stage  further, I am also producing iBA templates which in about 5 weeks will also be available from my websites! 

     

    Note: "Book Creator" for iPads is,  when compared to iBA, pretty basic- but  it caters for the Shakespeares and those like me me who make photo books.  It now has three templates, landscape ala iBA, Portrait ala iBA and a new Square template. The latest update also allows the same page sliding action as in iBA.

    It is maybe too basic for most using iBA .. but it suits me and  I have no restrictions on sales from websites.

  • lev770 Calculating status...
    Currently Being Moderated
    Apr 10, 2013 9:36 PM (in response to Radoslav)

    Hi Guys,

    To publish on the apple store as a non US resident you need an EIN, you can apply online for an EIN at Australia-Offshore.com, they did it for me for a fee in 48 hours they are base in the US and in Australia, you just need to fill up the application form at http://www.australia-offshore.com/employer-identification-number-ein-online-onli ne-application-irs-usa/

    Let me how how it went,

    Cheers and good luck.

    Lev

  • trilogy1000 Level 1 Level 1 (45 points)
    Currently Being Moderated
    Apr 11, 2013 4:46 AM (in response to lev770)

    Hey Lev can you give us an indication of the fee?

  • jlc1978 Level 1 Level 1 (10 points)
    Currently Being Moderated
    Apr 11, 2013 4:52 AM (in response to lev770)

    While it may be worthwhile to get assistance getting an EIN is free and straightforward. Google IRS and EIN.

  • vinnyvg Level 4 Level 4 (1,550 points)
    Currently Being Moderated
    Apr 11, 2013 6:51 AM (in response to lev770)

    About this link ....

    http://www.australia-offshore.com/employer-identification-number-ein-online-onli ne-application-irs-usa/

     

    It would have been more helpful had you advised that AFTER you fill in the form and submit it...... its actually a link to  Paypal and a request for $120.00.

    Which  seems  a pointless suggestion when its known that EIN  can  be applied for  by telephone and no matter where in the world you are.. I doubt a 'phone call of 20 minutes or so would rack up a cost of $120.00.

     

    I suppose  I should ask people to  send me their details and  pay me $25 to sublit their info and I would make more money  than selling books!  

  • jlc1978 Level 1 Level 1 (10 points)
    Currently Being Moderated
    Apr 11, 2013 7:16 AM (in response to jlc1978)

    Re:Taxes.

     

    The IRS taxes on net, not gross income. You deduct expenses, which include Apple's fees, prior to determining the tax liability. Other expenses, such as computers used to develop the book, are deductable as well. Of course, foreign taxes may be done differently so getting good tax advice is important.

  • john buck1 Level 1 Level 1 (65 points)
    Currently Being Moderated
    Apr 15, 2013 1:56 AM (in response to vinnyvg)

    With regards full disclosure of one's interests, with regard the Australia Offshore link for getting EIN, may we presume that the person emailing as Lev is also the owner of this business Levi Weisz?

  • nessfromsa Calculating status...
    Currently Being Moderated
    Apr 15, 2013 3:20 AM (in response to Radoslav)

    wow this discussion is out of control.

    For all those in Australia, I recently published a blog outlining how I went about getting my eBooks published. It contains most of the steps (those I could remember) that I did in order to get my books into the iBookstore, including buying ISBN numbers, applying to itunes connect and applying for an EIN. As a matter of interest, there is no fee required to get your EIN, at least there was not when I applied, mid last year. I hope it helps some of you out. It also includes various links and other peoples blogs that were of help during this rather confusing process. You can find my blog on the following links below:

    http://vanessacraggs.weebly.com/blog.html

    or

    http://vanessacraggs.blogspot.com.au/

     

    I hope this helps.

    ness

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