The App Store makes it easy for you to manage transactions in 175 territories, and Apple administers tax on behalf of developers in 64 of those territories. Now App Store Connect provides the ability to assign tax categories to your apps and in-app purchases. These categories are based on your app’s content (for example, videos, books, or news publications) and determine which tax regulations apply in each territory, allowing Apple to administer tax for you at specific rates.
To assign categories, visit the Pricing and Availability section for your app in App Store Connect. If a category applies to your app, select it at the app level to apply it to the app and its associated in-app purchases. You can also manage each in-app purchase individually. Your selections will be applied to future transactions and you can view the new Transaction Tax report the first full month after you configure your settings. If you choose not to make any changes, your apps and in-app purchases will be assigned the App Store software category at the same tax rate used today. Adjust these settings at any time as the characterization of your apps or in-app purchases evolve or as tax legislation changes.