Apple Gives Small Developers in the EU a Way Around the App Store Tax

| Updated on May 8, 2024
apple relieves small developers from apple store tax

In a recent report, Apple is exempting more and more developers in the European Union from the App Store tax. In an update on Thursday, Apple announced that the developers of free apps without any monetization, will not have to pay the fee anymore.

Apple also commented that to qualify for the exemptions, apps must not have revenue of any kind and this includes money made from both physical can digital items as well as from advertising.

“This condition is intended to allow students, hobbyists, and other non-commercial developers to create a popular app without paying the CTF.“ — stated Apple.

Apple receives small developers

The company also said that any small developers with less than €10 million in global annual revenue will also be receiving a three-year “on-ramp” to the CTF to help them create innovative apps and rapidly grow their business.

The CTF is part of the new business terms Apple introduced in the EU in January to comply with the Digital Markets Act. According to this rule, any developers who want to distribute their apps on third-party app marketplaces and use alternative payment options must pay 50 euro cents for each annual app install after 1 million downloads.

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