Important Changes for Non-US Authors/Affiliates/Service Providers

@collis: I think Envato get hold 30% base on my earning item from US buyer but they hold 30% of item price that’s not good for author.

Example: my item price is $59, our rate is 70%. I get $41.03 so you hold 30% of 41.03 but we wrong, you hold ~ 30% of 59. That’s not fair for author.

Why Europe (UK, France,…) buyer they have pay for VAT tax is ~ 20 but US buyer they don’t have to pay tax, you apply tax for author.

We spend more time to develop item but we get only 32% :cry: :cry: :cry: :cry: :cry:

10 Likes

Hello everyone!

I have question to staff that answers will be interested for everyone. We all see changes in US withhold in our account. But where is changes in Withdrawal UI part? As we all know now we can make one withdrawal per month to payment account in the same country as we submitted in tax form. Where is this changes? I see the same UI for withdrawal page like before (looks like I can still made multiple withdrawals as before).

Also I remember official reply that we can send money to our partners (to another payment account) to the same country as our or to another country (if we will submit additional tax form for partner). How to do this? How to withdraw money to another partner payment account? Where is new UI for this?

@collis

Hello there ,

I need to know that why invoice total is less than item price and I got to know after calculating that we don’t have to pay tax just from our earnings/commissions its actually that we have to pay tax from the invoice total . So its not just 15% for me its about 23% if I just calculate the deducted taxes from my earnings .

Just an exclusive author reporting on how things are at the moment.
I sell something for 19 dollars, i only get 5.
Not only is this unjust, but also senseless.

3 Likes

Is there any benefit for us authors from the move to the US? It was not our choice to move Envato to the US - why do we have to pay the taxes?

2 Likes

You can still have split withdrawals : Changes to Split Withdrawals from January 1st 2016

I would highly appreciate it if envato could implement an additional window in the earnings or statement page which indicates the percentage of the witholding tax that is applied to either all or just us sales. I just resubmitted the W8 form on my exclusive and non exclusive account yesterday since I wasn’t able to take a look at the already submitted forms. Since America has a 0% tax treaty with my country I hopefully won’t see any significant changes.

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I successfully filled my tax form and still they take some % from my earnings? Is that OK? Suppose to be like that?
I do pay taxes in my country.

Does your country have a tax treaty with the US? Did you provide a valid TIN with your W8?

Yes. Any advice?

From the amount shown in your image, it looks like the withholding is 10%. In which case it means that your country has a 10% tax treaty and it is being applied. You are better off than authors from countries with no treaty, but you still have to pay those remaining 10%. Nothing more you can do, unfortunately.

You’ll get a document in 2017 detailing all the tax that has been withheld during 2016. Show that to your tax people and, in theory, you can offset what you owe in taxes by what you’ve already paid to the IRS.

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Hey guys,

I’ve noticed on quite a few sales that I’m seeing tax being withheld, I’ve filled out the required form and thought that the UK had a tax treaty with the U.S.

Not sure if this is right?

Thanks

What TIN did you provide for W8 form?

I provided my company tax number and NI number too

Well, there is only one field for the FTIN, so if you put both numbers that would be invalid. You should put either your UTR or your NIN.

Thanks I’ll get in touch with support :slightly_smiling:

1 Like

Hello,

I’m filling in my W-8 form at the moment, and I’m interested in what the “Permanent residence address” stand for if I want to act here as a company?

  1. Do I have to select “Corporation” as the Chapter 3 status?
  2. Do I have to add my company’s or my personal address under “Permanent residence address”?

Thanks in advance!

OK, found answers to these questions here: http://www.citibank.com/romania/citi/files/ro/W-8BEN-E_Completing_Guide_February_2015.pdf

But have a newer question: there are 3 checkboxes at the bottom of the form (“I clarify that…”). Which of these have to be checked? Could someone explain it to plain English, please?
(please don’t advice to read the IRS guide as that didn’t make it clearer…)

Wow, you pay only 10%? Imagine when the 23% tax I don’t need to pay end, I’ll pay 30% envato + 23% Tax. 47% remaining vs USD to EUR… I’ll not even make any type of work LOL :slightly_smiling: