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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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Question marked as Best reply

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

Sep 6, 2008 4:14 AM in response to raymng

Hi this is the mail that i have received form itunes tax:

Hello

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.

If you have any further questions, please don't hesitate to contact us.

Kind regards,
"

So by this mail i mean that i doesn't pay tax in US but in my country.

Oct 9, 2008 1:41 AM in response to placebo333

Hi,

since I am right now in the filling-out-forms-phase as well 😟, are there any experiences already, with the "filling out with Zeroes" procedure already? Does anybody know if this is correct or not? How about the tax? Is there anybody from Germany who went through this successfully already? Without using a SS-4?


Thanks a lot for any new insight on this 🙂

Cheers,
Michael

Oct 9, 2008 1:46 AM in response to Yeti234

Hi,
I am also a developer from germany and I used the 000000000 approach to filling out the forms. After I did that, I filled out the documents that were mailed to me and sent them via snailmail to their office in Texas.
It all went very smooth, my contract was set up in no time and last month I received all the payments that showed up in my daily sales. I didn't even (although I am a resident of the EU) have to send invoices as some of the other EU people here are stating. All in all, it feels like it was too easy to be true... 😉

Greetings

Oct 9, 2008 1:00 PM in response to just.do.it

Hi everybody, I'm an iphone developer from Mexico and just like many of you don't have a company. I had the same issue as you with the EIN and ITIN thing.

I've just phoned the IRS at: 215-516-6999 and requested an EIN (although I'm not an employee nor have a company) and after providing basic information about myself (my full name, address and occupation) and waiting 10 minutes on hold, I had my EIN (Employee Identification Number) =)

They provided it over the phone, no need of mailing passports nor any other documentation.

How come I applied for the EIN and not the ITIN if I'm not an employee?
Because there's a field on the W7 form that says "Type of entity" and you can select "Sole Proprietor". It means you are your own boss 😉 your own employee too.

Also on the 2nd page of the W7 form on the "Do I need an EIN"? section you will find it says: "If the applicant is a foreign person needing an EIN to comply with IRS withholding regulations".

so it's perfectly ok to apply for an EIN even though you are an individual and don't have a company nor employees.

I submitted my tax info on the itunes connect site and there it was: a big green button thing saying everything is fine =)

The only thing left to do is sign and mail back to Apple some forms.

Hope this helps.

Oct 20, 2008 11:30 PM in response to trumi

Hey,

I've received the same template email from the iTunes tax department instructing towards filling the EIN/ITIN number with 9 zeros, but it also requests filling Section 10 in the form.
Could someone successfully completing this process give any advice on how that area (point 10) should be filled in? The email states the actual service is for "sales" not "royalties" (as in the tip sheet) and there are no withdrawals, so what point does it make filling in the country specific tax deduction rate there?

Thanks!

Oct 22, 2008 1:35 AM in response to trumi

Have any UK indie developers had any success or problems after entering the 9 zeros on the tax form?

If you have entered the 9 zeros, have you been paid the correct amount of money each quarter or was excessive tax taken from you?

I am about to submit my first app and I am a little hesitant to proceed with this method.

Thanks in advance.

Itunes Connect Tax Information

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