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Suzanna · 10-25-2013, 10:02 PM

I go direct with iTunes.

After getting my EIN (perhaps the IRS are backlogged because of the recent gov't shutdown) I set up my publisher account and waited for approval from Apple. Your tax withholding amount will be 0% and no, you will not need to submit a US income tax return if you get all your tax information set up ahead of time. This isn't really an issue with Apple because they won't let you sell your books until your tax info is complete and they've approved your publisher account. (If you start selling books in the US before getting your withholding amount down to 0 and the retailer withholds 30% of your royalties for taxes - which can happen with Amazon - you'll need to file an income tax form to get that money back.)

I don't actually upload my own books because I don't have a Mac, but I use Amy Atwell from Author EMS to upload my books for me. Apple allows you to assign a technical person to do the uploading for you, and that person doesn't see any of the financial stuff on your account. They're strictly your tech support. But once Amy uploads my book for me ($30 the first time because she has some setup to do, $20 for each book after that) I have complete control of my Apple account and can set my prices in the different countries.

The only caveat I have ... I didn't think I was going to need a GST number so didn't fill out that Canada GST form. And I just recently realized the discrepancy between what Apple was paying me and what I'd earned (which is now up to $600) was from sales made in Canada. Apple withholds the royalties for books sold in Canada if you don't fill out that form. So I took a deep breath and printed out the paperwork ... and wouldn't you know that form was for me to grant Apple the permission to record sales tax with *their* GST number. So I've since filled it out and am now waiting for Apple to pay my Canadian royalties (just did that last month.)

If you can swing it, I recommend going direct. It's always preferable to have direct control of your titles and to see daily reports of your sales.

10-25-2013, 10:02 PM	#5
Suzanna Living in the past Posts: 432 Karma: 6011289 Join Date: Sep 2010 Location: Toronto Device: Kobo Aura HD, Kobo Arc	I go direct with iTunes. After getting my EIN (perhaps the IRS are backlogged because of the recent gov't shutdown) I set up my publisher account and waited for approval from Apple. Your tax withholding amount will be 0% and no, you will not need to submit a US income tax return if you get all your tax information set up ahead of time. This isn't really an issue with Apple because they won't let you sell your books until your tax info is complete and they've approved your publisher account. (If you start selling books in the US before getting your withholding amount down to 0 and the retailer withholds 30% of your royalties for taxes - which can happen with Amazon - you'll need to file an income tax form to get that money back.) I don't actually upload my own books because I don't have a Mac, but I use Amy Atwell from Author EMS to upload my books for me. Apple allows you to assign a technical person to do the uploading for you, and that person doesn't see any of the financial stuff on your account. They're strictly your tech support. But once Amy uploads my book for me ($30 the first time because she has some setup to do, $20 for each book after that) I have complete control of my Apple account and can set my prices in the different countries. The only caveat I have ... I didn't think I was going to need a GST number so didn't fill out that Canada GST form. And I just recently realized the discrepancy between what Apple was paying me and what I'd earned (which is now up to $600) was from sales made in Canada. Apple withholds the royalties for books sold in Canada if you don't fill out that form. So I took a deep breath and printed out the paperwork ... and wouldn't you know that form was for me to grant Apple the permission to record sales tax with their GST number. So I've since filled it out and am now waiting for Apple to pay my Canadian royalties (just did that last month.) If you can swing it, I recommend going direct. It's always preferable to have direct control of your titles and to see daily reports of your sales.