I was wondering about all this as well. From what I've read, Apple won't send you a form, but there's not a whole lot of info about what you need to do next! If anyone with experience from last year could chime in then that would be great.
MDD said: I was wondering about all this as well. From what I've read, Apple won't send you a form, but there's not a whole lot of info about what you need to do next! If anyone with experience from last year could chime in then that would be great.
Apple does nothing to help you with taxes...thats all on you, which is actually a huge bummer I would also like to hear about someones experience with this
apple doesn't care, the government is trusting you. it's they way they are defining the payments in which they don't need to worry about sending out tax information. they are royalties or something, not traditional payments
Basically I have no experience with this, but I would assume you'd take the deposits you've received in your account for the last year (2010), total them out, and that is your GROSS income for the 2010 Tax year, then depending on how much it is, get an accountant, and see how much taxes you owe to the federal and state.
In the U.S, the general rule of thumb is 30%, depending on your filing status and deductions.
You could also plug it into a Tax calculator, just to get an estimate on taxes.
@Mulcahy: So when Apple defines the payments as "Royalties" versus traditional payments, does that change the tax liability? (or what you owe to the government)? Or will your tax liability be the same?
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I would also like to hear about someones experience with this
In the U.S, the general rule of thumb is 30%, depending on your filing status and deductions.
You could also plug it into a Tax calculator, just to get an estimate on taxes.
@Mulcahy: So when Apple defines the payments as "Royalties" versus traditional payments, does that change the tax liability? (or what you owe to the government)? Or will your tax liability be the same?