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Sixteen percent App Store tax in AU

Posted: Wed Jul 20, 2016 8:40 am
by petergallagher
The price in the AU store is $AUD30.99. But the market quoted exchange rate for $US19.99 is $26.73. A 15.9% premium.
Five percent or so might be understandable (given this is a variable rate) but once again the Apple App Store gouges. Quel surprise!

Re: Sixteen percent App Store tax in AU

Posted: Wed Jul 20, 2016 9:13 am
by DevanGelix
The below quotes and grumbles are not directed at Lit&Latte, more so at the Apple Money Machinations Regime.

Canadian price started at $27.99.
$19.99 USD (tier 20) currently equals $26.07 CDN for an approximate real world vat fee of $1.92 CDN.
That $1.92 CDN is equivalent to 7% vat fee padding.

Of course this is before taxes themselves of which where I am located is an additional 13%.

Australian price started at $30.99
$19.99 USD (tier 20) currently equals $26.69 AUD for an approximate vat fee of $4.30 AUD
That $4.30 AUD is equivalent to 13.8% vat fee padding.


What I find strange is, for an app that should be $.99 and has become effective $1.39, that's a vat fee of 40 cents. Or a 29% vat fee. More than twice my government taxes me at 13%. But again, I still need to pay the taxes on top of everything.

Alas, it is what it is, grumble.
Supply and Demand.
Lit&Latte supplied Scrivener for iOS and I demanded they take my money :D

Re: Sixteen percent App Store tax in AU

Posted: Wed Jul 20, 2016 10:35 am
by Amcmo
When looking at pricing comparisons between the various Apple app stores it should be remembered that, as with most Apple hardware, Apple sets a price that often remains constant for some time through fluctuations in exchange rate.

I can't speak for other stores, but in the case of the Aus one I don't have any issue.

If you convert the US to Aus and add the GST (VAT) there's cents in it. No big deal. If the Aus dollar drops again Apple could be in the hole.

If you're an Aussie based developer you have to be registered for GST and Apple doesn't pay the GST to govt but to the developer who has to account for it if sales are over $75k. Don't know the process for overseas developers.