1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Does this Qualify as a Tax Write-off?

Discussion in 'Business & Tax Advice' started by Greybeard, Nov 14, 2011.

  1. Greybeard

    Greybeard Junior Member

    Joined:
    Aug 27, 2011
    Messages:
    185
    Likes Received:
    18
    If you are creating lets say apps for the iPhone, the percentage that Apple keeps per your agreement, could you write that off on your taxes.

    Technically it is a required fee to do business as an app developer, right?
     
  2. 7878

    7878 Executive VIP Premium Member

    Joined:
    Jun 14, 2009
    Messages:
    1,382
    Likes Received:
    7,864
    No, because Apple takes that money off the top before you ever get paid. In order to write it off you would have to pay Apple their % out of your gross, but they already do that for you. You could write of the $99 dev account fee though. :D
     
    • Thanks Thanks x 1
  3. Greybeard

    Greybeard Junior Member

    Joined:
    Aug 27, 2011
    Messages:
    185
    Likes Received:
    18
    Ok, that makes sense. I'm just trying to come up with ways to save on taxes.

    Yes, I already knew you could write off the developer account fee.
     
  4. PatchesDM

    PatchesDM Newbie

    Joined:
    Nov 9, 2011
    Messages:
    25
    Likes Received:
    3
    Occupation:
    Amadeus Software Assistant Coder, A Skylight Divin
    Location:
    Harvey's Lake, Pennsylvania
    Home Page:
    : / That's a shame. I'd also like to write off my Paypal fee slices. It seems fair though to have these taken off since they are such a liability.
     
  5. upl8t

    upl8t Regular Member

    Joined:
    Apr 9, 2008
    Messages:
    475
    Likes Received:
    84
    Location:
    New Scotland
    Paypal fees are a legitimate business expense. Generally, any cost incurred in the normal course of business is an expense and that includes reductions in revenue from partners' shares, currency fluctuations, wire transfer fees etc... If you're going to make some real money go find yourself a real good accountant that you can trust, someone who really knows what they're doing.
     
  6. volund

    volund Senior Member

    Joined:
    Jan 24, 2010
    Messages:
    1,158
    Likes Received:
    728
    Occupation:
    Trying to make a buck or two
    Location:
    NW Arkansas
    Are you claiming the net payments or the gross? If you are claiming the net you are already subtracting the fees so no need to deduct them, if you are claiming the gross then you can claim the paypal fees......
     
  7. sciter

    sciter Junior Member

    Joined:
    Dec 9, 2009
    Messages:
    148
    Likes Received:
    56
    Isn't that obvious?
     
  8. volund

    volund Senior Member

    Joined:
    Jan 24, 2010
    Messages:
    1,158
    Likes Received:
    728
    Occupation:
    Trying to make a buck or two
    Location:
    NW Arkansas
    Well looking at the question I quoted and the OP my guess is not quite as much as you might think.