Apple has announced tax and pricing updates for the App Store, affecting multiple markets worldwide. These adjustments impact developers and app prices in several countries, including Japan, Azerbaijan, Peru, Slovakia, Estonia, and Finland.
According to Apple, these updates are necessary due to changes in local tax regulations and foreign exchange rate fluctuations. Some changes have already taken effect, while others will roll out in the coming months.
Key Changes for Developers
As of February 6, 2025, Apple has introduced tax modifications that directly impact developer earnings in affected regions. Notable changes include:
- Azerbaijan & Peru: A new 18% Value-Added Tax (VAT) has been introduced.
- Slovakia: The standard VAT rate increased from 20% to 23%, while a reduced VAT rate of 5% was introduced for eBooks.
- Estonia: The VAT rate on news publications increased from 5% to 9%.
- Finland: The VAT rate for eBooks rose from 10% to 14%.
Developers operating in these countries must adjust pricing or factor these tax changes into their revenue expectations. Apple will collect and remit taxes for developers in Azerbaijan and Peru.
Japan Implements New Tax Policy for App Store
Starting April 1, 2025, Japan will introduce a tax policy requiring Apple to pay taxes on behalf of non-Japanese developers. Under this regulation, Apple is classified as a Specified Platform Operator and must collect a 10% Japanese Consumption Tax on all paid apps and in-app purchases made by non-Japanese developers.
However, virtual goods such as in-app currency purchased before April 1 will not be taxed under the new policy. Developers can view these changes under the Pricing and Availability section of their App Store Connect accounts.
What This Means for Developers and Users
Apple’s latest tax updates reflect ongoing regulatory shifts affecting digital marketplaces. Developers must account for these tax changes when pricing apps and in-app purchases. Users in impacted regions may see slight price increases due to these adjustments.
These tax updates highlight Apple’s efforts to comply with local laws while maintaining a balanced revenue model for developers worldwide. Developers should review the new policies to ensure compliance and optimize their pricing strategies.
