Apple is notifying app developers in Mexico, South Africa, South Korea, and Turkey of upcoming price changes to the App Store. Developers in South Korea will see the addition of a 10 percent VAT (value added tax). Apple has mentioned that it will pay the tax on behalf of devs located outside South Korea, but those living in the country will have to pay VAT themselves.
On account of the price increase, customers in South Africa, South Korea and Turkey will have to resubscribe to any services that have auto-renew enabled. Mexican users will be charged the new price automatically, and should they be interested in terminating services, they will be able to do so via an email Apple will send out notifying users of the changes.
Apple is also introducing new pricing tiers in India, Indonesia, Mexico, Russia, South Africa, and Turkey. Developers will be able to choose between two tiers, Alternate Tier A and Alternate Tier B, with the updated pricing determined by existing pricing options in the Chinese App Store.
The changes are set to be finalized by Thursday morning PDT. 9to5Mac managed to obtain a copy of the email that was sent out to the developers in these countries:
We sometimes need to update prices on the App Store whenever taxes or foreign exchange rates change. Within the next 36 hours, prices will increase in the following App Store territories:
Purchases on the South Korean App Store now include a value-added tax (VAT) of 10 percent. If you’re a developer based outside of South Korea, we’ll pay the VAT that we’ll be collecting for you. If you’re a developer based in South Korea, you’re still responsible for paying the VAT.
Because of the price increases, customers with auto-renewable subscriptions on the South African, South Korean, and Turkish App Store will need to resubscribe. However, although the prices are also changing for subscriptions on the Mexican App Store, we won’t interrupt those.
We’ll send an email to your subscribers in these territories shortly before their subscription renews to let them know that the price of their existing subscription will increase. The email also has a link that will let customers resubscribe, or in Mexico, turn their subscription off.
In addition, we’re also adding two new low-price tiers, Alternate Tier A and Alternate Tier B, for the Indian, Indonesian, Mexican, Russian, South African, and Turkish App Store. We’ll update prices for existing apps and In-App Purchases that already use the Alternate Tier A and Alternate Tier B price tiers on the Chinese App Store.
You’ll be able to review the new prices in the updated price-tier matrix in Rights and Pricing in My Apps within the next 36 hours.
Have any questions? Get in touch.
The App Store team