Thank you, Suzanna, for a very informative response (and also my thanks to the other that replied as well)!
I am currently in the process of setting up my account with iTunes Connect -- that is, I got my EIN number earlier this week, then put in my application with Apple, but I keep getting emails from them saying that they (Apple) can't verify my EIN and to resubmit. I did check online via a website somewhere and my EIN is indeed "valid", so I'm not sure what the problem is -- but I read elsewhere that that's apparently not unusual, and that I should just call Apple to push the thing through and get my approval (which I'll do next week, if I get another "rejection letter" from them again).
So from the looks of it, I guess I'll be going the direct route -- as you suggested is best, if one is able!
What I did find rather surprising -- and a bit disheartening -- though, is that apparently I'll need a GST number. Ugh! I used to have one many years ago when I was doing web design, and it was such a pain, but I wasn't actually making that much money from that work and then later discovered that if one's income is under $40,000/year (or something) that you don't actually need a GST number.
But I gather from what you're saying that Apple pretty much insists upon it?
*sigh*... I'm really not looking forward to all this extra accounting I'm going to do (for what may be little more than just a few extra dollars a month or something -- or however it is that it works). :/
Quote:
Originally Posted by Suzanna
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.
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