The App Store has announced several updates regarding taxes and pricing for February 2024. As of February 6, 2024, the following tax changes have been implemented:
- Azerbaijan: Introduction of 18% value-added tax (VAT).
- Peru: Introduction of 18% VAT.
- Slovakia: Standard VAT rate increase from 20% to 23%, introduction of a 5% reduced VAT rate for ebooks.
- Estonia: Reduced VAT rate increase from 5% to 9% for news publications, magazines, and other periodicals.
- Finland: Reduced VAT rate increase from 10% to 14% for ebooks.
These tax changes will affect the proceeds developers receive from the sale of eligible apps and In-App Purchases in the respective countries.
Effective February 24, 2024, the following pricing changes will be implemented:
- Azerbaijan and Peru: Pricing for apps and In-App Purchases will be updated to reflect the new VAT introductions.
- Other storefronts: Prices will be adjusted to maintain equalization with the base price if Azerbaijan or Peru is not selected as the base storefront.
Certain exceptions apply to the pricing updates:
- If Azerbaijan or Peru is selected as the base storefront for an app or In-App Purchase, prices will remain unchanged.
- Prices for auto-renewable subscriptions will not change in any region.
- Prices will not change on storefronts where developers manually manage prices instead of using automated equalized prices.
More here.