news details

*Updated: 10/21/2008*

In Holiday 2008 members of the Creators Club Online will be able to submit games, and once reviewed and approved by the Community they will be available for purchase on Xbox Live. All royalties are calculated in U.S. Dollars and once a Creator reaches the minimum payout limit then they’ll be paid out in their local currency. In order to get paid for your games that have been purchased on Xbox Live you will need to gather the relevant information depending on where you are based.

Our site is still under construction. The ability to enter your own tax information will be come at a later date and when the site is completed we will make sure everyone is updated.

U.S. based Creator A U.S. based Creator is one who for federal tax purposes is considered a U.S Person as determined by the U.S. Internal Revenue Service W-9 form.

From the U.S. Internal Revenue Service W-9 form the definition as of September 2008 is as follows:

Definition of a U.S. person. For federal tax purposes, you are considered a U.S. person if you are:

 

• An individual who is a U.S. citizen or U.S. resident alien,
• A partnership, corporation, company, or association created or organized in the United States or under the laws of the United States,
• An estate (other than a foreign estate), or
• A domestic trust (as defined in Regulations section (301.7701-7).

   

If you are a U.S. Person you will require one of the following Tax Identifier Number(TIN) in order to be paid:

 

• Social Security Number (SSN)
• Employer Identification Number (EIN)

 

Non-U.S. based Creator

Non-U.S. Creators are not considered a U.S. Person as per the W-9 definition.

A Tax Identifier Number is not strictly required to get paid, although without it you will be subject to an automatic 30% U.S. tax withholding. If your country has a tax treaty with the U.S then you will be able to take advantage of that providing you have a relevant Tax Identifier Number.

In order to take advantage of any treaties between the U.S. and your country you will require one of the following Tax Identifier Numbers(TIN):

 

• Individual Tax Identification Number (ITIN) or Social Security Number (SSN)
• Employer Identification Number (EIN)

 

For more information refer to the U.S. Internal Revenue Service website. For tax advice you should refer to a tax professional.

Also please note that if you created your game as a team then you will need to look into filing as a team. If you do not file as a business the team member that submits the game is responsible for the taxes associated with the revenue.