It’s really very promising these new tax rules. hahahah
Imagine that we have spend last 2 years to learn and work hard to be a part of this market and just 2015 was a good start for us and we made a good starting income with almost 520 sales. But that was not for so long everything is changing now. Before we were getting 50% almost as author fees for our products and now with new intruders we are getting 20% of sales. We really should rethink about working with Envato market.
We have contacted envato regarding our issue, We are from Bahrain and i am Bahraini means that there is no US tax treaty and there is no tax id i have since our country doesn’t have taxes.
there reply was:
If you don’t have a TIN and you’re from a non treaty country, it
does not matter as a rate of 30% is applied to sales to US buyers.
However, we still require you to complete a W-8 form otherwise the IRS
applies a “presumption rule” that means you are regarded as a US person
in the absence of documentary evidence (Form W-8) proving otherwise. In
this case, the IRS applies a 28% tax rate across ALL sales (regardless
of buyer location). For this purpose, the W-8 does not need to include a
TIN.
Regards
Envato
We have submitted our W8 form but without tax id because we don’t have it.
It really unfair, disappointed_relieved: we are really disappointed