Looking at ITIN and EIN form, it seems EIN doesn't have any place in the form to add treaty with country of business. Does this mean you have to file a US Tax return to get your refund back every year?
EIN seems to be an easier process to fill than ITIN, but might give me hassle later on. Can anybody confirm this?
Also, can anybody confirm that sending a photocopy of passport that is authenticated by passport issuer (Canadian Goverment) is OK with IRS? Canadian goverment didn't sign Hague Yada Yada.
Did you get your entry to your Paid Books account? If so, how long did it take after you got your EIN and entered it into the Apple registration process? I got my EIN over phone two days ago, and today I got feedback from Apple that they have not yet found my record with IRS. BR Staffan Solve, Sweden
Anyone wanting to publish who's unable to or doesn't want to register for US tax, check out this label.
They publish iBooks Author textbooks on itunes for commission. Like a Lulu or Smashwords for iBooks.
I have online "stores" with two US based "Print on Demand" web sites, using my photo images to put onto T Shirts etc,. One simply needs their online form filling with land address etc,. the other requires a W8BEN form filled in , scanned and emailed to them.
Having read a post which includes....
"There is a requirement to obtain a US Tax ID if you wish to make your books available in the US market.
Does this indicate that by removing the USA from territory sales in iTunese Connect - that it also removes the need to get involved Ein's or whatever the tax forms are??
The biggest rip-off is that if you live outside the USA, as we do, and you are forced to get a USA Tax ID, Apple withholds 30% of your royalty payments for the IRS. It isnt just the tax ID that is the issue, its the IRS getting money for nothing. Example, we wrote a book that is only relevant to the state we live in. It will only sell in this state in Australia. We have to declare the income from the book to our own government, charge and pass on to our govt 10% GST (australian Goods and Services Tax), and then the IRA wants 30% of the royalty, and you dont get to discuss it, Apple deducts it. Plus, if you publish an electronic book via Apple, they have the sole rights to it, you cant then publish it electronically elsewhere. The IRS has a list of countries that have treatys with America that can reduce the IRS's 30%, but ours isnt one of them. The alphabetic list starts with Lithuania. The moral to this story is, dont publish with Apple. Download free software such as Abobe Digital Editions, and sell the work from your own website. We refuse to pay the IRS money because Apple happens to be an American company. Read all the fine print, and just say "no".
Sure you are angry but your facts aren't right. I too live in Australia and the US Government has had tax treaty agreements with the ATO for many years and they cover things from working in either country - and book publishing.
Please go here to see the list.... which starts with A for Armenia.
The other point I think worth repeating is that nobody is telling you that you have to publish with Apple..
If you don't like Apple's system, go to a competitor.
Amazon or Barnes and Noble..Kobo....and Adobe Digital Editions
None are free or unrestricted.
They all impose restrictions and DRM and royalties.
Because you are using their sales system to make money.
Or go to an Australian company like Tablo and let them deal with the EIN and IRS and ATO
Or release your book for free with no DRM and there are no fees. And no returns
Just my 2c worth
and sell the work from your own website.
But dont use iBooks Author to create your book!
I am sure that iBA is supplied free to enable users to create pubication to be sold by Apple in their store.
You cannot use "their" software to create a product, sell it online - even in from your own websites. I think you are allowed to use iBA and use where you want IF its given FREE.
I downloaded an app - "Book Creator" obviously its not as sophisticated as iBA, but you have text only, picture book, portrait, square and Landscape book style options and you can iunsert multi media.
Most of your content preparation needs to be done outside the app and imported.
I only create photo books with captions/comments and only occasionally to I need to enter pages of text.
The app ( cost is around $3 ) is gaining users and and getting better with each update,
There are no restriction s on its use and distribution. Whats more... if you have issues to resolve, problem is dealt with by THE MAN, not a support team.
There are other apps, but are usually a vehicvle to publish your content on the websites or whatever.
I have no connection other than a user of "Book Creator". Its also handy to have iPad if only to try out idea's!
I am in NSW, but my Apple and bank account is UK before exiting a sinking ship to the land of sun, and that causes me problems with Apple and tax.
I wish I had the knowledge to write a similar application to iBA - there must be a huge market waiting to make eBooks and market with more or less 100% control.
If you have not read my post 3 up from this - its shows not all USA based companies are so anal on tax forms and a simple W8BEN for non USA citizens is enough.
thanks for all your detailed answers, I was wondering if you at any stage during your application (specifically when in itunes connect filling in the tax forms) did you fill in the W8-BEN form?
This is accessible in: Contracts, Tax and banking section. Under tax> US Tax forms and after answering "yes" to the following question:
Do you have any U.S. Business Activities?
In general, you have U.S. Business Activities if you have employees in the United States, or own, lease or control equipment or other assets in the United States that you use to derive revenue from the iBookstore.
It is here I get confused and apple states you WILL not be able to resubmit or hange this. Presently I do not derive revenue so feel the need to answer "no" and go no further.
But everywhere I read people are filling in th W8-BEN form, leading to my confusion.
Thanks in advance.
Sorry I meant the:
Form W-8ECI: Certificate of Foreign Person's Claim That Income Is
Effectively Connected With the Conduct of a Trade or
Business in the United States
Also are you required to file a U.S. income tax return (whether an individual return or corporate return) with respect to the income you earn from the iBookstore?
Apologies for the mistake