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Price adjustments for Germany tax

Information about Price Adjustments Related to Reduced Value Added Tax in Germany from July 1st

Mario Viviani Jun 26, 2020
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The German Government is temporarily reducing value added tax (VAT) from July 1st until December 31st this year. The German tax rates will change from 19% to 16% (regular VAT rate) and from 7% to 5% (reduced VAT rate). It is the aim of the German Government that retailers pass on the reduction to customers through lowered prices.

While this is not a required action for your published apps on the Amazon Appstore, you may choose to update the List Price of your apps and in-app purchasable items sold in Germany for the duration of the VAT reduction.

Before you apply any changes to the List Price for your apps and in-app purchasable items sold in Germany, please take note of the following:

  • Changing the List Price for the “Amazon.de” Marketplace will also impact the calculation of Royalties for apps sold in Austria (AT), where at the moment there is no VAT reduction.
  • If you plan to update the List Price for a subscription, please make sure to carefully read the documentation on how to update subscription price on the Amazon Appstore Developer Portal. The system behavior for a given subscriber depends on the price that the subscriber is currently paying.

If you would like to lower the list price for your apps, you can follow the steps below on the Amazon Developer Console:

  • Go to “App List” and select the app where you would like to lower the list price
  • For Paid Apps, go to “Availability and Pricing” and edit pricing for the “Amazon.de” marketplace
  • For editing In-App Items, go to the “In-App Items” tab. For each In-App Item, edit the list pricing for the “Amazon.de” marketplace.

If you have any additional questions, please contact Amazon Appstore Developer Support.

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