Apple Undergoes Price Changes in App Store in Some Countries

Apple

Apple has announced that it will be raising the price of apps and in-app purchases in Turkey, Saudi Arabia, Mexico and Chile due to tax changes.

These countries have had the following tax changes implemented:

  • Turkey- a new tax for digital services of 7.5 percent in addition to the VAT of 18 percent.
  • Saudi Arabia- Increase of VAT from 5 percent to 15 percent.
  • Mexico- a new VAT of 16 percent.
  • Chile- a new VAT of 19 percent.
  • Developers are notified that their App Store sales proceeds will be adjusted accordingly and depending on the tax-exclusive price revenue.
  • Proceeds will also change in countries like the UK, Italy, France, and Germany, albeit without the change in App Store pricing.
  • United Kingdom- A new tax for digital services at 2 percent in addition to the VAT of 20 percent.
  • Italy- A new tax for digital services at 3 percent in addition to the VAT of 22 percent.
  • France- A new tax for digital services at 3 percent in addition to the VAT of 22 percent.
  • Germany- A reduction of VAT from 19 percent to 16 percent.
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