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author: jnHs Description: In order to receive money from app sales in the Microsoft Store, you need to set up your payout account and fill out the necessary tax forms. title: Set up your payout account and tax forms ms.assetid: 690A2EBC-11B1-4547-B422-54F15A6C26A7 ms.author: wdg-dev-content ms.date: 12/14/2017 ms.topic: article ms.prod: windows ms.technology: uwp keywords: windows 10, uwp ms.localizationpriority: high

Set up your payout account and tax forms

In order to receive money from app sales in the Microsoft Store, you need to set up your payout account and fill out the necessary tax forms.

If you only plan to list free apps (and don't plan to offer in-app purchases or use Microsoft Advertising), you don't need to set up a payout account or fill out any tax forms. If you change your mind later and decide you do want to sell apps (or add-ons), you can set up your payout account and fill out tax forms at that time. You won't be able to submit any paid apps or add-ons until your payout account and tax profile have been completed.

Note

In certain markets, developers can only submit free apps. If your account is registered in one of these markets, you will not have the option to set up a payout account.

After you have set up your developer account, there are two things you need to do before you can sell apps (or add-ons) in the Microsoft Store:

Note

 For details about how and when you will be paid for the money your apps make, see Getting paid.  

Payout account

A payout account is the bank account to which we send the proceeds from your sales. This bank account must be located in the same country where you registered your developer account.

Note

In some markets, PayPal can be used for your payout account. See Account types, locations, and fees to find out if PayPal is supported for a specific market, and read the PayPal info below for more details.

  To set up your payout account

  1. In the Windows Dev Center dashboard, go to Account settings by selecting the icon in the top right corner.
  2. In the left navigation menu of the Account settings page, click Payout account.

Note

Because this is sensitive info, you may be prompted to sign in again.

  1. On the screen that appears, fill out the info for your account.

Note

The fields you use to provide your account info accept only alphanumeric characters.

  1. Save your info.

If you need to update or change your payout account, follow the same steps above, replacing the current info with the new info.

Important

Changing your payout account can delay your payments by up to one payment cycle. This delay occurs because we need to verify the account change, just as we did when you first set up the payout account. You'll still get paid for the full amount after your account has been verified; any payments due for the current payment cycle will be added to the next one. See Getting paid for more info.  

PayPal info

In select countries and regions, you can create a payment account by entering your PayPal info. However, before choosing PayPal as a payment account option:

  • Check Account types, locations, and fees to confirm whether PayPal is a supported payment method in your country or region.
  • Review the following FAQs. Depending on your situation, PayPal may not be the best payment account option for you, and a bank account may be preferred.

Common questions about using PayPal as a payment method:

  • What PayPal settings do I need to have in order to receive payments? You must ensure that your PayPal account does not block eCheck payments. This setting is managed in PayPal’s Payment Receiving Preferences page. See PayPal’s account setup page for more info.
  • Is my country/region supported? See Account types, locations, and fees to find out where PayPal is a supported payment method.
  • Does my PayPal account have to be registered in the same country/region as my Dev Center account? No. When you set up a PayPal account, you can accept the default configuration. You shouldn’t have any issues with other countries/regions and currencies unless you have blocked payment in some currencies. This setting is managed in PayPal’s Payment Receiving Preferences page.
  • Do I have to accept PayPal payments manually? No. PayPal accounts are set by default to require users to accept payments manually, which means if you don’t accept the payment within 30 days, it is returned. You can change this setting by turning off “Ask Me” in PayPal’s More Settings page.

Specific requirements for certain countries/regions

In some countries and regions, additional requirements for payout accounts must be followed. If you are a resident of Pakistan, Russia, or Ukraine, please note the following requirements.

Pakistan

Form-R is a Pakistan banking regulatory requirement. It is used to indicate the purpose and reason for receipt of funds from abroad. Therefore, anytime that you are eligible for a monthly payout from Microsoft, you will need to submit a Form-R to your bank before the payout can be released to your account. Contact your local bank branch for instructions on how to obtain a copy of Form-R.

You will need to submit a Form-R to your bank each month that you are eligible for a payout. For example, if you expect to receive a payout every month of the year, you will need to submit a Form-R 12 times (once each month).

Once the payout has been submitted to your bank, you have 30 days to submit a Form-R. If it is not submitted within 30 days, the funds will be returned to Microsoft.

Russia

If you’re a developer who lives in Russia, you may need to provide documentation to your bank before your bank will deposit funds into your account. When you’re eligible to be paid, we will provide you with the following documentation in an email message:

  1. Acceptance Certificate (AC) – contains the amount of payout being transferred to your account.
  2. App Developer Agreement (ADA) – a signed copy of the developer agreement that needs to be counter signed.

To ensure your payout is successful, please also keep in mind the following:

  • The Account holder name entered for your payout account in the Windows Dev Center dashboard must be the exact same name associated with your bank account. For example, if your bank account name contains a middle name, add a middle name to your Account holder name.
  • Payouts are transferred directly from Microsoft to your bank account in Ruble (RUB) currency.
  • Bank information entered in Dev Center in Latin characters is translated to Cyrillic characters.
  • Payouts must be made to a bank account and not to a bank card.

Ukraine

If you’re a developer who lives in Ukraine, you may need to provide documentation to your bank before your bank will deposit funds into your account. When you’re eligible to be paid, we will provide you with the following documentation in an email message:

  1. Acceptance Certificate (AC) – contains the amount of payout being transferred to your account.
  2. App Developer Agreement (ADA) – a signed copy of the developer agreement that needs to be counter signed.
  3. Amendment Agreement (AA) – this document can be used by your bank to help identify your payout funds.

Microsoft provides all three documents when your first payout is attempted. For any subsequent payouts, you will only receive the AC document. Please retain the ADA and AA documents in case you need them to receive future payouts from your bank.

To ensure your payout is successful, please also keep in mind the following:

  • The Account holder name entered for your payout account in the Windows Dev Center dashboard must be the exact same name associated with your bank account. For example, if your bank account name contains a middle name, add a middle name to your Account holder name.
  • Payouts are transferred directly from Microsoft to your bank account in USD currency.
  • Bank information entered in Dev Center in Latin characters is translated to Cyrillic characters.

Tax forms

After you have registered for a developer account and set up your payout account, you can create your tax profile for the Microsoft Store by completing the following steps:

  • Specify your country of residence and citizenship.
  • Fill out the appropriate tax forms.

You can complete and submit your tax forms electronically in your dashboard; in most cases, you don't need to print and mail any forms.

Important

Different countries and regions have different tax requirements. The exact amount that you must pay in taxes depends on the countries and regions where you sell your apps. See the App Developer Agreement to find out for which countries Microsoft remits sales and use tax on your behalf. In other countries, depending on where you are registered, you may need to remit sales and use tax for your app sales directly to the local taxing authority. In addition, the app sales proceeds you receive may be taxable as income. We strongly encourage you to contact the relevant authority for your country or region that can best help you determine the right tax info for your Microsoft Store developer activities.

  To complete your tax profile

  1. In the Windows Dev Center dashboard, click the Account settings icon in the top right corner.
  2. In the left navigation menu of the Account settings page, click Tax profile.

Note

Because this is sensitive info, you may be prompted to sign in again.

  1. Review your current tax profile status and click Edit to complete the required forms.
  2. Answer the questions about United States citizenship and residency, then click Next.
  3. If your name and address info are displayed, confirm them for the purposes of filing taxes.

Next, you will see electronic versions of the tax forms that you must complete. Regardless of your country of residence or citizenship, you must fill out United States tax forms to sell any apps or add-ons through the Microsoft Store. Developers who satisfy certain United States residency requirements must fill out an IRS W-9 form. Other developers outside the United States must fill out an IRS W-8 form. You can fill out these forms online as you complete your tax profile.

A United States Individual Taxpayer Identification Number (or ITIN) is not required to receive payments from Microsoft or to claim tax treaty benefits.

Withholding rates

The info you submit in your tax forms determines the appropriate tax withholding rate. The withholding rate applies only to sales that you make into the United States; sales made into non-US locations are not subject to withholding. The withholding rates vary, but for most developers registering outside the United States, the default rate is 30%. You have the option of reducing this rate if your country has agreed to an income tax treaty with the United States.

Tax treaty benefits

If you are outside the United States, you may be able to take advantage of tax treaty benefits. These benefits vary from country to country, and may allow you to reduce the amount of taxes that the Microsoft Store withholds. You can claim tax treaty benefits by completing Part II of the W-8BEN form. We recommend that you communicate with the appropriate resources in your country or region to determine whether these benefits apply to you.