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Apple Announces App Store Small Business Program

(www.apple.com)
830 points todsacerdoti | 1 comments | 18 Nov 20 11:04 UTC | HN request time: 0s | source
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ryanschneider ◴[18 Nov 20 16:12 UTC] No.25138456[source]▶
I really wish they had just said that the tax is 15% on your first $1m in sales and 30% on all sales after each year.

Correct me if I’m wrong, but with the current plan I can actually _lose_ money year over year around the $1m mark. For example if I make $1.01m in year one and then my sales tick up to $1.1m in year two my Apple tax is ~150k in year 1 but balloons to 330k in year 2, leading to a net loss in profits despite a gain in revenue?

replies(2): >>25138759 #>>25139537 #
mediochrea ◴[18 Nov 20 16:33 UTC] No.25138759[source]▶
>Existing developers who made up to $1 million in 2020 for all of their apps, as well as developers new to the App Store, can qualify for the program and the reduced commission.

>If a participating developer surpasses the $1 million threshold, the standard commission rate will apply for the remainder of the year.

I think it's exactly like you wish it was.

replies(1): >>25138924 #
phnofive ◴[18 Nov 20 16:43 UTC] No.25138924[source]▶
Yes, but only for the year in which you cross the threshold - subsequent years are commissioned at 30% from dollar one.
replies(1): >>25139729 #
mediochrea ◴[18 Nov 20 17:40 UTC] No.25139729{3}[source]▶
So if you're in the 30% bracket once, you're in there forever pretty much? That sucks if so.
replies(1): >>25140316 #
1. pavon ◴[18 Nov 20 18:21 UTC] No.25140316{4}[source]▶
No, not forever. If you drop below $1M you can join again, but you have to wait a full year before doing so, during which time you are subject to the 30% rate even if you make less than $1M during that year.