App, in-app purchases to become costlier for iPhone users

Buying apps and in-app on the App Store may become costlier soon as Apple has decided to revise prices to align them with changes in local taxes and foreign exchange rates. In case of India, the increase in price will also reflect the new equalization levy of 2% in addition to the existing goods and services tax of 18% that is already being charged from developers.

In an official online post, Apple said, “when taxes or foreign exchange rates change, we sometimes need to update prices on the App Store. In the next few days, prices of apps and in-app purchases (excluding auto-renewable subscriptions) on the App Store will increase in Brazil, Colombia, India, Indonesia, Russia, and South Africa.”

The equalisation levy of 2% was introduced by the Government of India at the end of March on non-resident e-commerce operators offering any e-commerce supply or services.