App Store and Google Play commission belongs on Line 10, commissions and fees.
Why line 10
Apple and Google keep 15 or 30 percent of each sale before remitting the rest, and that cut is a commission on the sale, line 10. Your gross receipts are what the customer paid, not the net proceeds that reach your bank, so report gross on line 1 and the commission here. The annual developer program fee is not a commission: it is a flat licence cost you owe with no sales at all, so itemise it on line 27a.
Stop looking up lines one at a time. ClaryBook totals your year into an IRS Schedule C worksheet in form order, Part I and Part II line by line, so App Store and Google Play commission lands on Line 10 without you sorting it.
Start for freeWhat App Store and Google Play commission is confused with
- Line 27a, other expenses
- A percentage of each sale is line 10, while the flat yearly developer program fee is a subscription cost itemised on line 27a.
- Line 8, advertising
- Apple Search Ads and Google Ads spend to promote the app is advertising on line 8, not a platform commission.
- Line 18, office expense
- Cloud hosting, crash reporting and other monthly tooling the app runs on is an office or software expense on line 18.
Examples that belong on line 10
- Apple's 30 percent cut of a 4.99 dollar in-app purchase
- The reduced 15 percent rate under the App Store Small Business Program
- Google Play's 15 percent rate on the first million dollars of annual earnings
- The lower commission rate on an auto-renewing subscription after its first year
- A 30 percent cut on a one-time paid download
What does not belong here
- The annual developer program membership, which is line 27a
- Search Ads or Google Ads spend, which is advertising on line 8
- Reporting only the net remittance as income
- Foreign VAT the store collects and remits for you
What to keep
Keep all twelve months of App Store Connect financial reports or Google Play earnings reports; the proceeds and commission columns there support line 1 and line 10 together.
Other expenses on line 10
| Expense | Line |
|---|---|
| a real estate commission split | Schedule C, Line 10 |
| Amazon seller fees | Schedule C, Line 10 |
| Etsy fees | Schedule C, Line 10 |
| pay-per-lead fees from Thumbtack, Angi or Yelp | Schedule C, Line 10 |
| PayPal fees | Schedule C, Line 10 |
| referral fees you pay | Schedule C, Line 10 |
| sales commissions you pay | Schedule C, Line 10 |
| Shopify transaction fees | Schedule C, Line 10 |
| Square fees | Schedule C, Line 10 |
| Stripe processing fees | Schedule C, Line 10 |
| Upwork and Fiverr platform fees | Schedule C, Line 10 |
Related lookups
- Where do client gifts go on Schedule C?
- Where does Google Ads spend go on Schedule C?
- Where does printer ink go on Schedule C?
Sources
This page explains how Schedule C lines work. It is general information, not tax advice for your situation. If an expense is large or the answer turns on a fact about your business, confirm it with your tax preparer.
Looking for a different expense? The full Schedule C line lookup has every line from 8 to 27 with the expenses that belong on each, and Schedule C expense categories walks the whole form in order.
Stop looking up lines one at a time. ClaryBook totals your year into an IRS Schedule C worksheet in form order, Part I and Part II line by line, so App Store and Google Play commission lands on Line 10 without you sorting it.
Start for free