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Itunes Connect Tax Information

Hi,

I'm an individual developer from germany (no company) and I want to sell my app via the AppStore.

Does anybody know if I need an ITIN (Individual Taxpayer Identification Number)? If so, what do I have to do?

What is the Reference Number good for?

Do I have to fill in something in Line 10?

Any help would be appreciated!

Antworten auch gerne auf deutsch 😉

MacBook Pro 15", Mac OS X (10.4.7), 2,16GHz 2GB RAM 100GB

Posted on Jul 14, 2008 12:50 PM

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Posted on Jul 17, 2008 9:59 AM

I went to the US embassy in London to see what I needed to do. They will only issue an ITIN if accompanied by a signed letter from Apple on an Apple letterhead stating that I will be earning money in the US. I've tried enquiring at Apple to see about the possibility of getting this, but it doesn't look promising.

The other option is an EIN (there is a link on iTunes connect to the SS-4 form for applying for this), but this is intended for companies, not individuals. However, the form says "certain individuals" can apply for an EIN. I am going to phone someone at the IRS to inquire about this. I understand you will need to do an annual US tax return too.

Michael.
56 replies

Aug 11, 2008 10:17 PM in response to trumi

mmm
I read the documentation carefully, if you fill all data with 0, for applications sold in US, the US govnmt takes 30% of taxes...
in my case, I live in italy, if I apply for ein, they will take only 5%...

I'm still waiting for a friend lawyer to get back from holidays for a full screening of documentation.

Per Claudio, contattami che ci scambiamo qualche info. mi becchi a su cognome [punto] nome [at] <l'email del + grande motore di ricerca> :-D

Sep 1, 2008 10:20 AM in response to lackofcolour

Hi,
this is all very interesting. I sent an e-mail to itstax@apple.com to clarify how that dreaded W-8BEN form should be filled out. Here's their answer:
Since the App Store contracts are characterized as a "sales/commission" agreement, as opposed to a "royalty" agreement, there will be no tax withholding in the United States. Therefore, we would still like you to complete the W8BEN form, however, you are not required to obtain a new US Taxpayer Identification Number if you do not already have one.

Please enter nine zeros (000000000) in the space provided in section 6. In addition, payments from the USA App Store will not be reported to the IRS on form 1042 at year end.

However,

I asked them again why do they contradict with other information on iTunes Connect where it is clearly stated this revenue is considered as 'Royalty'. I haven't heard about them for 2 weeks, however I have resent the email 2 times already again, hoping someone would answer me...

Sep 1, 2008 4:46 PM in response to HunGable

Because the information on iTunes Connect is meant for music labels and they didn't bother to change them for app developers.

International developers who have gone to get a US tax ID have just wasted their time – as an app developer, all you need to fill in on the W-8BEN are parts I and IV. Nothing else. Apple will not withhold any of your earnings regardless of whether you did the research about your tax treaty benefits or not.

Read the contract. Nowhere are "royalties" mentioned – it's all sales.

Itunes Connect Tax Information

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