Yes, I do totally agree with that and not just google ad but also other platforms ads.
but that not cost more than 5% (my guess). so does not justifies taking more than 50% of authors earning.
and Envato runs an ad for a market place not for a particular item (saying in sense of common item may be running ads for best performing one.).
will you pay google search engine 70% of your website making the cost just so a user can search that?
It used to be a simple commission, starting at 50% for new exclusive authors. Fixed buyer fees (and lower rates) were introduced alongside Author Driven Pricing.
The fixed buyer fee probably has many advanced reasons behind it, but it slightly reduces tax liability on authors (youâre not responsible for that $4 like you would be if it was a simple commission system), encourages healthy item prices, acts as a minimum price barrier, and ensures Envato gets at least a certain amount from each sale.
Itâs also more fair for authors who want to sell larger, higher-cost items on the Market; they make more revenue this way, i.e. Envato seemingly wants to reward higher-quality, expensive items.
Theyâve put a lot of work into this model for the last several years, so I wouldnât get any hopes up about them changing it. It works exceedingly well for the majority of authors.
Also just want to reiterate my previous points on this: Envato does not need to justify their rates. 
Say hello to Bing.
Thatâs my point there is no Bing for Envato and even if there is somewhat competition then its at level of Current Google search vs 20years older google search.
well those $4 are not going to reduce from taxation. the amount which the author gets from payout is the one on which the author pays tax.
my saying is, why to take 2 different charges just take one $4 or % whichever is higher for them.
so is it fair for the buyer to pay $100 for a $10 item?
Yes, I totally understand that.
I donât agree with this as the majority of author are not elite but a regular one with 100s of sales. and they are too busy becoming the elite so most of them not even try to complain about issues. and it gets clear if you see the no of the audience is present to Envato meetup events via streaming or in person. They just want to get something instead of nothing.
Itâs the same with just about any business, regardless of the industry - loyalty, investment, value etc. leads to longer-term reward. The rewards of being an Elite author are no different.
When you apply to become an author - you can see all the rates and conditions.
Nowadays system is better than before (when it was fixed rate from 50% to 30% fee), with an old system it was more profitable to spam lots of cheap items, which isnât healthy for market.
Just understand that the main driver of this market are CUSTOMERS, not Authors, not Envato itself, but CUSTOMERS. They bring money here, and to bring money further market should provide better and better quality items. Current system is much better for better quality items (as they are usually more expensive).
Just for example:
with an Author fee of 6$ (for AE templates) to earn ±10$ from an item for elite author(12.5% fee) item price should be 18$, with an old system(30% fee) item price should be 14$.
BUT to earn 30$ with a current system item price should be 40$ and 43$ with an old system, and the higher price will be the bigger cut you will get with a new system, vise versa the lower price the less cut youâll get (from 7$ item you will get less than 1$ now, but it would 5$ with an old system).
I saw items on CC with a 249$ price, you can count which system is better 
There is a Bing for Envato, and it isnât really that new. Someone even mentioned it above. But just as Bing has only a 2% market share compared to Googleâs 93%, Iâm sure youâll see a similar situation here.
Not true in the US. Taxes are based on gross revenue before any fees are deducted. Tax brackets are decided this way as well. Envato cuts the buyer fee out of these equations. In other words, taxes arenât as simple as you believe them to be, which is in part why Envatoâs model isnât as simple as youâd like it to be.
Because they can make money that way! 
Of course not. If you want to make cheap items, then be prepared for smaller earnings. If you want to put months of work into a beast of an item, then price it properly and youâll reap the rewards.
Or maybe most of them understand that they agreed to Envatoâs pricing model before they started selling here, and that they must work hard to earn more rather than complaining that they should earn more without working harder.
Remember this: Envato would earn more money if there was a simple % commission on all items without the buyer fee. Reason suggests that theyâre earning less money with the current system, so there must be a good reason for the current system, otherwise theyâd go with the route that earns them the most money.
Till now whichever item made was the one i required for usage but didnât found them or they are just expensive in sense of there value proportion. And selling item $10 to $100 just because i want to make profit is not good for business. Yes i do sell some item very cheap because thatâs what there pricing should be. if you see one of my item which cost $10. if there was right taxation then i would be selling that one for $5. better for buyers as they are the one giving us money.
Well if Envato making business in my country then they also need to follow tax laws of my country. just take an apple as an example they sold their phone in US with VAT but in India with 18%. And here in India, I have to pay tax on what I earn and that also when I do make earning over 500k. and with the current module taking that tax money from the author for paying author tax does not going to help Indian author. So taking care of author tax Envato simply leave that on to author similarly DMCA and they just pay tax on there earning. ie. % they take. (I am not legal and tax expert just saying base on what I do see here)
So your saying of that Envato is paying tax for author and doing this on there behalf does not make sense. Why Envato needs to take US tax withholding when no other service/market doing just look at freelancer, fiver also that unmentioned competitor. On those platforms, you can work with US buyers without paying TAX withholding. that because they (site) just taking care of there own Earning and Tax does not involve in the TAX issue of there authors. That same can be applied here.
Envato can submit DMCA on the authorâs behalf and take action they just need to update their policy in favor of the author. like this (the competitor uses this I found in there t&c)-
âYou authorise Member terms and conditions to submit a DMCA notice to others on your behalf regarding unauthorised use or copies of your Products made elsewhere (without obligation and at Member terms and conditionsâs sole discretion).â
Surely Envato market is alot better then any other competitor but it can be even better and in favor of there community ie. Buyers and seller. If they take communities thoughts in consideration.
The PHP Scripts category isnât meant for items that inexpensive.
Not quite right. Envato isnât doing business in your country. They are doing business in the US and Australia. When you log into Envatoâs websites to purchase an item or sell something, it is you who are doing business in the US and/or Australia.
Apple does indeed have to pay taxes to India, because Apple has physical stores in your country. Envato is an internet business based in the US and Australia only. They only pay taxes to the US and Australia.
Envato does charge VAT, but they only do this to support EU authors. If they didnât charge VAT, Iâm not sure if EU citizens could sell with Envato, but they could definitely still purchase from Envato.
Blame the United States and its immensely complicated tax code.
If thatâs the case, authors in the US and other countries canât properly report taxes because we donât know who our customers are. Freelance sites donât take care of taxes for us because we know who our customers are (and frankly, itâs easy to file for 10 freelance customers vs. 1,000,000+ international customers).
Thus, to do what youâre asking, Envato must disclose the identities of buyers (but even if they do this Iâll quit as an author, because thereâs no way Iâm spending a whole month documenting paperwork for 3,000 buyers!)
No, Envato is not paying taxes for authors or doing anything on their behalf. Theyâre simply disclosing the necessary information to the US via tax forms. In doing so, the IRS requires them to collect withholding tax based on the guidelines set by US law.
Even if they do amend their terms to add such a clause⊠Are you willing to pay an extra 25% per sale to fund the massive team of copyright ninjas that will monitor and manage copyright for 26,963,792 unique items? I certainly wouldnât want that job. 
The competitor(s) you talk about can do this because they only have to handle maybe a couple thousand items. But I guarantee that if they ever have 26 million items, they wonât be actively sending DMCA notices.
Well, we both can be right in some point and wrong in some points but we can agree on one thing that is we are not legal or tax expert, and currently, whatever the tax system and commission system is in place use by Envato I hope they done with guidance from an expert in those fields. and by taking the there profit into consideration by which they follow all the tax low and still remain in profit.
Well, they are not charging anything extra for that service they simply use a 30% cut system like freelancer services.
If you say so then whatâs your thoughts about US TAX withholding. no other internet-based business takes that. and yes I already said we are not experts in these fields and we donât know exactly what they do with that withholding. 
Not right. well, you cant ask $100 for simple things like CSS effect or complete project like the comment system. there are more add-ons there are sold then complete system. if I am selling complete script like e-commerce store then thatâs worth $100+ but if visit the codecanyon then you will see that most of the project are less then $50. and the reason is simple more compitation in those project.
My point was, youâre asking for a very big service (managing copyright of 27 million items is no simple feat!), so you should be prepared to pay a reasonable price; perhaps increasing the base author fee from 37.5% to 55%, for example (plus the buyer fee).
Itâs pretty hard to be an expert in US tax law, but as a US citizen, Iâm fairly familiar with it. Tax withholding is actually a simple concept; Envato sends that money straight to the IRS. It is illegal for them to use, keep, or spend that money, so theyâre not profiting or gaining anything from it. And if they did not collect it, then the IRS would sue them and force them to collect it.
There are other internet services which withhold taxes, you just donât see it often because few services have a model like Envatoâs where Envato must report our earnings due to a lack of buyer disclosure.
If it wasnât right, then there wouldnât be a fixed buyer fee. 
This is why the CSS category has a buyer fee of only $1.
Of course! You donât mess around with US tax law. 
Envato almost certainly worked with the IRS to figure out their current model. They also have to go through audits like any other company. If they listened to some of the things youâve been suggesting in this thread, they would get sued in a heartbeat!
Envato isnât a very big company, but they did take taxes very seriously when moving to the US in 2016. They had to call in the tax experts to figure out how to make their business model compatible with US tax law. The old (simpler) commission system wouldnât work, so they created the new system with buyer/author fees and tax withholding.
Basically: Everything Envato has in place right now is here for a good reason. They cannot simply âremoveâ one piece or another without making drastic changes to their business model.
Itâs not that simple - it depends on the country you are submitting the DMCA to, where the infringing content is located, and in several cases it costs for someone to be âan agentâ - before @baileyherbert mentioned, addressing the cost implications of staffing a resource like that.
Unfortunately, as with several points throughout this thread - everyone has to be realistic about what is/is not possible and the potential complexities and business impact.
Running a business which is the size and scale of envato which juggles a hugely complex and international operation is never going to be simple, and there will never be a perfect solution for everyone.
However contrary to popular belief it would be incredibly naive to think that they have not worked with a host of (tax, legal and otherwise) experts to get to where they are. They will have explored most feasible avenues to improve operations for themselves as well as authors and buyers. They certainly would not actively take steps which costs them money or are detrimental to the business if it is at all avoidable.
Well thatâs what i am saying from start no need of fixed fee just take %.
Well, our system is not as complex as US. 
Itâs simple if you make business more than 40 lack you pay tax and it has reverse tracking.
you donât need to have big staff for that and the current charges are more than enough for this thing. already you are charging as much as 75% on some sale. this can be done as simple as reporting the null site by the author to Envato support and then support will take care of that. and I am sure that Envato is big enough to be taken seriously by DMCA where they can do something internally without going through the complete process of verification like we regular users do.
the current charges are too high if go by reasonable. in a business where if somebody brings customers we do offer 10 - 15% and that what market charges for that. and also your reasoning is too expensive thatâs the reason most of the US clients find developer in India and other countries. For the project which cost $5000+ in us cost only about $500 in other markets. for you 45% earning may be enough and charges are not more but for us its a lot. as $4 can give us internet uses of a month the value of money is not same for everyone.
Yeah, it must be nice. Our tax laws suck! 
But unfortunately Envato lost their minds at some point and chose to move to the US, so now we all have to deal with it.
I donât think itâs reasonable to expect a business to add a massive increase in operating costs without accordingly adjusting their fees. Envato should be using (or intending to use) most of the profit theyâre getting, so funds to cover the extra costs have to come from somewhere.
Thatâs unfortunately not how it works. Thereâs no âinternalâ process or regulatory body for DMCA where they can have more influence. Theyâd just be sending DMCA complaints over e-mail (or postal mail), and getting ignored like the rest of us.
Even if you feel that they are unreasonable, theyâre probably not going to change.
While I can appreciate that the value of a dollar changes by area, I still donât agree with the logic that Envato should reduce their fees because of this. If the loss of that $4 hurts you, add some new features to your items and raise the price. Or better yet, go publish more items, which will increase your earnings and lower your author fee.
Thatâs an unfortunate man as Envato is too big in digital content market to be ignore like regular user.
Completly aware of that. is there way to create pole in thi forum this post may suit that.
Thatâs what everyone in (author) including me is doing. But creating same product and saturating market is not good for it. if you search web view in codecanyon you will find more than 2 page of search result price range from $7 to $100
Getting rid of buyer fee will lead to higher author fee. And premium products will suffer from this. Itâs just stupid to favor low cost products against premium ones, just because you want to sell scripts for 5 bucks not 10.
Anyway, if you think that it is easy to handle such a market as Envato - go on and create your own and sell items with your own fees, tax withholding, etc. No one force you to sell here. Iâm an elite author with 8.5k+ sales and I feel that current system is balanced enough as I donât do any marketing staff, donât maintain site and financial transactions.
Because Envato isnât a license holder, only Author as license holder can issue DMCA and any other license questions
Just want to make sure, youâre aware of what DMCA is right? Itâs just a US copyright law. Thereâs no agency, organization, or anything like that to regulate it. Instead, it can only be regulated through courts in countries that honor it. Itâs annoying and expensive to constantly fight court cases abroad, so factor that into operating costs for such a service as well.
Hmm, I think staff were experimenting with forum polls but I donât think itâs possible for us to do it yet. What I do know is that Envato occasionally sends out research polls to authors asking for their opinion on these types of things.
Great! Youâre doing it correctly then.
Just so weâre clear, I do agree that only earning 50% of each sale is not fun. But itâs what we all agreed to, and we can keep working to chase after higher earnings. Loyalty programs like this are common, especially in startups (I personally still consider Envato to be a startup, because they havenât entirely grown out of that mindset yet).
I also have zero expectations for them to decrease their fees, even if most authors would like them reduced. Remember, this isnât a democracy, itâs a private company. The only âvoteâ they care about is whether you choose them over a competitor.
How.?
charging $10 for $5 thing is not right. and the fewer charges are going to be applied to all types of products, not just cheap ones.
There is nothing that is easy in business. I am running one so knows how it works.
My reason for selling here is same as yours.
congrats and there is nothing much impesive in that with having 6 years working, 80 item not so unique.
Well, you donât do because you are happy with what you are getting maybe you are just regular users and not running a business with employees. if you were having those then you will always try to push the boundary.
there are 2 types of peoples 1 who believe equality and other who does not. you are just donât want to pay 20% when currently you are paying 12.5%
Thatâs why another marketplace has included terms about the right to fill DMCA in ther T&C. which can grant them right to fill DMCA.
I am not aware of this fact but i know just basic as because of one simple misunderstanding my item was taken down on codecanyon for 3 months. Envato simply taken that down without notifying me so i have to check with DMCA and after the DMCA filler has not responded to them item was reinstated.
Yes, and I am not even thinking of they will take note of this post but just trying to make it this platform better like by letting the author know about there item is on null site so they can take action. well its simple like leaving at home we are leaving there and there are a lot of things we donât like but we just donât ignore them we try to make them better.
Yes unless compitation reach at envato level and thats not going to haappen.
From all your replies I clearly see your mood and intentions, you have your opinion and you will stand it till the end no matter what others say)) Thatâs why this thread has so many posts.
You are making some assumptions which benefits you but these assumptions have nothing to do with real situation, just serving to favor your opinion.