Global Tracker for Developers on Apple

Tax and In- App Purchases

The essential tracker for App Developers on everything about Apple Tax- this timeline
collates all that you need to know on past, present, and upcoming developments w.r.t
commissions and in- app payments on the App Store.

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Date of Type of
Effective from Key Event What does it mean for App Developers?
development development

• This means unless there is a some kind of a

stay before Dec 9th 2021, Apple has to allow
Federal judge rejects Apple’s plea to external payment links within its apps to re-
stay court order of permitting in- app direct users to other payment options apart
Nov 10, 2021 NA users to avail alternate payment options Court Ruling from In- App Purchasing

Ref • Not very clear how exactly Apple will revise its
rules to comply with the Court’s decision

• Developers are now permitted to use user

App Store Guidelines updated to now
permit developers to communicate to
Oct 22, 2021 Oct 22, 2021
customers about alternate payment
methods
information obtained within their app to
communicate via emails/ SMS etc. with them
about purchasing methods other than Apple’s
Apple’s Official
own in- app purchases.
Announcement
• One still can’t communicate the same within
the Apple App.

Apple “permanently restrained and enjoined from

prohibiting developers from:

Apple vs Epic permanent injunction by • including in their apps and their metadata
Unknown Court injunction
US District Court in the Northern District buttons, external links, or other calls to action
(is expected to be
of California that direct customers to purchasing
(Dec 9, 2021, if appealed again by
Sep 10, 2021 mechanisms, in addition to In- App Purchasing
there is no stay Apple and the case
Ref 1 and
on the court could drag on for
Ref 2
order) months)
Ref 3 • communicating with customers through points
of contact obtained voluntarily from customers
through account registration within the app”

• Will potentially allow developers of “reader*”

apps to link to their own websites for users to
manage their accounts (meaning make
payments, upgrade to higher plans etc.) Till
now, reader apps were not even allowed to
Apple announces new settlement with
communicate within the app where users could
Japan allowing developers to link to
make payments.
Sep 2, 2021 Early 2022 external websites Court Settlement
*Reader apps include not just apps for reading,
but any app that allows access to “purchased”
 Ref
Telecommunications Business Act:
Anti- Google Law to curb Apple in- app
Aug 31, 2021 Unknown payment commissions
Ref
Apple’s proposed Settlement with US
developers on letting apps
communicate directly to users about
Aug 27, 2021 Unknown
alternate payment options
Ref
App Store Small Business Program
Nov 18, 2021 Jan 2021 reduces commission to 15% (vs. 30%)
for apps earning below $1M p.a.
85% vs. 70% revenue for developers
once subscribers complete one- year
Jun, 2016 Jun, 2016 with an app.
Ref
What’s brewing? Watch out for the below:
Australia’s Competition and Consumer Commission (ACCC)is also considering regulations for the digital payments system of Apple,
Google and WeChat, according to media reports.
The antitrust case against Apple in India
Epic takes Apple to court in South Korea
EU Antitrust: Statement of Objection to Apple on App Store’s rules for Music Streaming providers,
Related to the above point: European Senator on Antitrust and Apple
or subscribed media within the app. These
include digital magazines, newspapers, books,
audio, music, and video. Example: Netflix,
Spotify, Audible, etc.
• Law will prevent Google and Apple from forcing
developers to use their in- app billing systems
in South Korea
Law passed by the
• This is the first time across the globe that a
South Korea
government passed a law to prevent Google
National Assembly
and Apple from forcing their own in- app billing
systems. More governments are expected to
follow suit.
• Apple said “developers can use
communications, such as emails, to share
information about payment methods outside of
their iOS app. As always, developers will not
pay Apple a commission on any purchases
Agreement, which is taking place outside of their app or the App
still pending court Stores.”
approval
• This would allow developers to communicate
with customers by email and “other
communication services,” which was difficult to
do so far under the App Store’s rules.
• Existing and new App Store developers
clocking up to $1M in a year for all of their apps
qualify for the reduced commission of 15%.
• If a developer surpasses the $1M limit, the
Apple Official standard commission rate of 30% will apply for
Announcement the rest of the year.
• If any developer’s business slips below the
$1M cap in a future year, they can requalify for
the 15 percent commission the next year.
• Post this announcement, subscription- based
apps only have to pay 15% (vs. 30%) as a
commission cut to Apple for a customer
Apple Official subscription active for at least one year.
Announcement
• This is Apple’s way of rewarding developers for
retaining their subscribers
Apple Asks 9th Circ. To Pause Epic App Store Order - Law360