commission error

Envato Authors AudioJungle
1

I sold 4 licenses and my commission is 4 * 11.25
how my earnings are 37.5$ ?(after taxes)

2

In author tab, in Tax information. Did you fill it?

3

I don’t have VAT in my country

4

Two of your 4 sales were to US buyers = 15% US Royalty Withholding Tax per sale (USA<->Egypt tax treaty)

$29.00 - $4.00 = $25.00 gross income
$25.00 * 0.00 = $0.00 us withholding tax
$25.00 * 0.55 = $13.75 author fee
$25.00 - $0.00 - $13.75 = $11.25 earnings

$29.00 - $4.00 = $25.00 gross income
$25.00 * 0.15 = $3.75 us withholding tax
$25.00 * 0.55 = $13.75 author fee
$25.00 - $3.75 - $13.75 = $7.50 earnings

(2 * $11.25) + (2 * $7.50) = $37.50

5

thanks for explaining

6

@Manriquedelara I filled in everything in tax information, W8 completed , but i still get US Royalty Withholding Tax . I think some extended explained topic is necessary to be posted in order to make these things clear. In my country, we do not use social security numbers. The W8 asks for that number. There is specified , though, that we need to insert the PIN, personal identification number. Which i did. But it still didn’t fix anything.

7

Maybe this help you;

https://help.author.envato.com/hc/en-us/categories/360000036123-Payments-Taxes

8

@Manriquedelara Thank you.

I already read that when i completed the tax forms. And i followed all the required steps. But, as i said, some mistakes may occured. Maybe i should write an e-mail to helpdesk in order to fix that.

9

Write them, they will help you, for sure!

10

Look into the tax treaty between your country and the USA, completing the W8 does not mean that the tax is completely eliminated for you. Some countries have negotiated 10% or 15% withholding tax with the USA.

11

@Sealord . That makes more sense.