Apple has announced that it will charge more apps and in-app purchases in India, Brazil, Colombia, Indonesia, Russia, and South Africa in the next few days. The Cupertino-based tech giant has taken to its developer’s website to make the announcement. As of now, there’s no word on when the new pricing and availability will be reflected on the App Store.
Prior to this Apple had revised the pricing on the App Store in India back in January 2017. Back then the brand revealed that the pricing is being hiked due to changes in tax laws in India. And now, the brand has decided to include the equalisation levy in the App Store pricing. Here are all details of the new development from Apple.
Apps and in-app purchases to become more expensive for Apple users
According to the announcement on Apple’s Developer’s website, the new pricing on the App Store will be revised to reflect the equalisation levy of two percent apart from the existing Goods and Services Tax (GST) of 18 percent. Notably, the equalisation levy was introduced in the Indian Finance Act through the Budget 2016 and has been put into effect from April 1st, 2020. The equalisation levy is a direct tax applicable on digital transactions made to non-India business entities.
Apple has already shared the updated price tier charts with the developers, showing the price hike for their respective apps. According to the revised chart for the Indian App Store, apps and in-app purchases made in India will now start from Rs 89. Notably, the minimum charge was Rs 80 previously.
Additionally, Apple has announced that the new pricing will be applicable on apps and in-app purchases made through the App Store. However, the brand didn’t reveal if the revised pricing will also be extended to its services like Apple Music, Apple TV+, and iCloud.
Apart from India, Apple has also revised the App Store prices in Indonesia to include the 10 per cent value-added tax for non-resident developers. The company didn’t reveal the revision details for Brazil, Colombia, Russia, and South Africa.