I have just been paid my first app sale payment. The sale was an American Sale of, $19.17 I believe, the spreadsheet tells me, Estimated Earnings are $15.34.
But I have been paid in £11.16. This is nowhere near my app sale price. I understand currency conversion, and this purchase was made from the US. But help me understand why my actual payment I received in £ was a lot lower than I expected? I was mentally thinking I’d be receiving around £15? Has it been taxed or something? Have Amazon taken a cut? I’m a little confused, just want to ensure I understand correctly.
I think I’m not understanding something right here, so if someone can explain to me very simply I’d appreciate it.
Thank you for posting. For account-specific questions, we recommend contacting the support team through the contact-us form. Based on your description, you may need to review your US withholding rate, which is determined by your US tax identity interview responses.
For US taxation purposes - The statutory US withholding tax rate applied to US source royalty and service payments made to non-US persons is 30%. If you are a non-US-based developer, and your country/region of residence has an existing income tax treaty with the US, you may be able to claim a reduced rate of US tax withholding on the royalty and/or service payments that you receive by completing an IRS tax form (e.g. Form W-8) in the tax identity interview.