Absentia
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02/12/13 01:58 PM (12 years ago)

U.S. tax question - combine sales and advertising?

I'm working on getting my taxes together and this is the main thing I'm confused on - I'm filing my income from App Store sales under "Business Income and Expenses (Sch C)". Can I just create one source of self-employed income labeled "Mobile App Developer" and combine all of my App Store, Chartboost, and RevMob earnings as one lump sum?
 
Jerry
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02/12/13 02:14 PM (12 years ago)
I use the H&R Block (Basic Edition) tax software. It was like $15 at Walmart. The software asks me if if I receive any 1099s. I enter the income from those and then it will ask me later on if I had any other income I would like to report for my business. If I have companies (Revmob?) that didn't send me any 1099s, then I would report the income there as a lump sum. I believe Apple should send you a 1099 if you made over $500-$600 with them in 2012?
 
Absentia
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02/12/13 02:19 PM (12 years ago)
Hmm ok, thanks for the info. I think Apple only sends out 1099's for income through iAds advertising, but the rest of it we are supposed to keep track of ourselves. RevMob and Chartboost are two ad networks that I used in 2012 I'm thinking it may be smartest just to hire somebody this time around
 
GoNorthWest
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02/12/13 02:28 PM (12 years ago)
I'm jealous that you guys made enough money to need to ask these questions! ;-)
 
Jerry
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02/12/13 02:41 PM (12 years ago)
LOL @GoNorthWest... Well...I've only been doing apps for 3 months or so and I'm definitely not where Absentia is at. :-) I'm coming from the internet marketing world as an Ebay and Amazon affiliate where 2011 was a great year and I received 1099s from them. Then Google decided to shake things up a bit in 2012 and that's why I've moved on to making apps. :-)
 
MGoBlue
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02/12/13 03:43 PM (12 years ago)
1099 income is supposed to be reported by the payer, and Apple should have sent 1099s. You can lump all of your income together - there's no need to itemize all of the sources. As Jerry mentioned, most tax software should walk you through the process. It's not too difficult.
 
Absentia
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02/12/13 03:50 PM (12 years ago)
Just found this on the iTunes Connect FAQ's Will Apple send a U.S. Tax Form 1099 for my sales? No. Sales on the App Store are sales by you, the developer of copyrighted works, to end users. Therefore, Apple takes the position that payments made to you for these sales are payments for products or goods, which are specifically exempt from reporting on Form 1099 even though the payments may be taxable income to you. You are responsible for determining your own tax obligations with respect to these payments. If you are uncertain of your tax obligations, we recommend that you consult with a tax professional.
 
Jerry
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02/12/13 03:58 PM (12 years ago)
Good to know for 2013 taxes...Thanks.
 
MGoBlue
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02/12/13 04:12 PM (12 years ago)
@Absentia - thanks for that. So Apple is just acting as a pass through. Interesting. I figured I hadn't gotten a 1099 because I'm a corporation and they're not required to send to corps. Thanks.
 

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