Apple will be hiking App Store prices in the United Kingdom and several other countries as of February 13. Apple is making the changes due to shifts in taxes and foreign exchange rates.
App and in-app purchase prices in Colombia, Egypt, Hungary, Nigeria, Norway, South Africa, and the United Kingdom will go up, while prices in Uzbekistan will drop because of a three percent reduction in the value-added tax (VAT) rate.
The App Store’s commerce and payments system was built to empower you to conveniently set up and sell your products and services at a global scale with 44 currencies across 175 Storefronts. Periodically, we update prices on the App Store in certain regions based on changes in taxes and foreign exchange rates. This is done using publicly available exchange rate information from financial data providers to help ensure prices for apps and in‑app purchases stay equalized across all storefronts.
On February 13, 2023, prices of apps and in-app purchases (excluding auto-renewable subscriptions) on the App Store will increase in Colombia, Egypt, Hungary, Nigeria, Norway, South Africa, and the United Kingdom. Prices in Uzbekistan will decrease to reflect a reduction of the value-added tax rate from 15% to 12%. Your proceeds will be adjusted accordingly and will be calculated based on the tax-exclusive price.
While prices on the App Store in Ireland, Luxembourg, Singapore, and Zimbabwe won’t change, your proceeds will be adjusted to reflect the following tax changes:
- Ireland: Reduction of value-added tax rate on electronic newspapers and periodicals from 9% to 0%
- Luxembourg: Reduction of value-added tax rate from 17% to 16%
- Singapore: Increase of goods and services tax rate from 7% to 8%
- Zimbabwe: Increase of value-added tax rate from 14.5% to 15%
Additionally, by the end of January proceeds will increase for local developers selling in Cambodia, Kyrgyzstan, Indonesia, Singapore, South Korea, Tajikistan, Thailand, and Uzbekistan.
Apple will estimate and remove taxes based on the tax category information you have provided before calculating commission. Exhibit B of the Paid Applications Agreement will be updated to reflect this change.
Once these changes go into effect, the Pricing and Availability section of My Apps will be updated. As always, you can change the price of your apps and in-app purchases (including auto-renewable subscriptions) at any time in App Store Connect. If you offer subscriptions, you can choose to preserve prices for existing subscribers.
And as previously announced, in spring 2023, upgraded pricing capabilities for apps and in-app purchases will provide you 700 additional price points and more flexibility to set prices per storefront, so you can manage foreign exchange rate changes independent of globally equalized prices.