App Store 1099
If you earn revenue from the App Store, it’s essential to understand your tax obligations, including the 1099 form. Apple issues this document to certain developers to report income to the IRS. Here’s everything you need to know about the App Store 1099, how to obtain it, and what to do with it.
What Is an App Store 1099?
A 1099 form is an IRS document used to report non-employee income. Apple issues Form 1099-MISC or Form 1099-K, depending on your earnings and payment method. This form summarizes your earnings from app sales, subscriptions, and in-app purchases that must be reported on your tax return.
Who Receives a 1099 from the App Store?
Apple follows IRS guidelines for issuing 1099 forms. You will receive a 1099-MISC if:
- You are a U.S.-based developer who earned at least $600 in revenue from the App Store within a calendar year.
- You are subject to U.S. tax laws and receive payments as an individual or sole proprietor.
If you meet the earnings threshold, Apple will issue the 1099 form by January 31st of the following year. If you do not meet the threshold, you will not receive a 1099 but are still responsible for reporting your earnings.
How to Get Your App Store 1099
Apple typically issues 1099 forms through its Apple Payments and Financial Reports Portal. To access your form:
- Check Your Email – Apple notifies eligible developers when their 1099 form is available.
- Log into Your Apple Developer Account – Navigate to Payments & Financial Reports to find your 1099.
- Download the Form – Save a copy of your 1099 for tax filing and record-keeping.
If you expect to receive a 1099 but do not see it, contact Apple Developer Support for assistance.
What to Do with Your App Store 1099
Once you have your 1099 form, follow these steps to report your App Store earnings:
- Include It on Your Tax Return – Independent developers report their earnings on Schedule C (Form 1040) for self-employment income.
- Deduct Business Expenses – Reduce your taxable income by deducting expenses such as app development software, marketing, and hosting fees.
- Pay Self-Employment Taxes – App Store income is subject to Social Security and Medicare taxes. Use Schedule SE to calculate your tax obligation.
Final Thoughts
If you generate revenue from the App Store, understanding your tax responsibilities is crucial. Even if you don’t receive a 1099, you must report all earnings to the IRS. Keep track of your income and expenses, and consider consulting a tax professional for guidance.