Apple now charges 27% commission for app payments in the Netherlands

Apple iOS 14 app store

Earlier today, Apple said that in the Netherlands, it will charge a 27% commission on purchases in dating apps through third-party payment methods. This is in line with Dutch regulators’ ruling. In an update to its developer support site. Apple said it would charge a 27 percent commission on transactions made in dating apps. This percentage will be applicable for payments that use alternative payment methods. This is a little lower than the usual 30% commission. Apple said the reduced commissions do not include the value of tax collections and remittances made by the company.

Apple App Store

“Consistent with ACM’s order, dating apps that have been granted the right to link out or use third-party in-app payment providers will pay Apple a commission on the transaction. After deducting VAT, Apple will charge a 27% commission on the price users pay. This is a lower rate and does not include value related to payment processing and related activities. The developer will be responsible for collecting and remitting any applicable taxes, such as Value Added Tax (VAT) in the Netherlands…”

Gizchina News of the week

These details come after Apple announced last month that it would comply with a ruling by the Netherlands Authority for Consumers and Markets (ACM). The ruling forces Apple to allow third-party payment services to pay for in-app purchases on dating apps. Apple warns that it will not have direct knowledge of purchases made using alternative methods. It will also not be able to assist users with refunds, purchase history, subscription management, and other issues. These often come as part of its own in-app payment system processing.

Apple is succumbing to a court ruling

As a result, developers using the new benefits will have to take on these additional responsibilities. They will also provide Apple with a record of each month’s digital goods and content. The report will contain information on all products sold through the App Store within 15 calendar days. These reports will be available at the end of Apple’s fiscal month.

Apple’s concession comes after the ACM ruling back in December. ACM ruling says that the company is engaging in “abuse of market power”. It does this by restricting dating apps from using third-party payment methods. ACM threatened to fine the company up to 50 million euros in a week. It will slam the fine on Apple if it does not allow dating apps to offer alternative payment methods. Despite agreeing to provide benefits, Apple is still appealing the ACM ruling, which it believes is not in the best interests of App Store users. Apple claims that it has “concerns that these changes will harm the user experience and create new threats to user privacy and data security”.

Disclaimer: We may be compensated by some of the companies whose products we talk about, but our articles and reviews are always our honest opinions. For more details, you can check out our editorial guidelines and learn about how we use affiliate links.

Source/VIA :
Previous Apple cuts Apple Music free trial to one month
Next Google Chrome gets its first icon update in 8 years