We recognize that having to deal with the financial stuff, especially fees, and taxes, can be tough, so we are going to explain the fees/taxes associated with in-app payments and payouts on YZZY.
For starters, any fee or tax that we apply in-app is there for maintaining a secure and reliable platform for you to use, not to mention the requirements of the local/federal law.
Note:
- As a creator, you will be informed of the final sum (fees and taxes included) for the entity/service you create.
- Customers will see the final price for the service/entity on the Payment Details page.
Here's a breakdown of the different fees/taxes you may encounter depending on the payment/payout type:
Service Fee
This one helps us operate our platform including payment fees, service provider fees, and platform fees for customer support. It consists of a Platform Fee and a Payment Fee.
- Platform Fee - We charge a tiered percentage fee on in-app purchases to cover essential costs like platform maintenance, security, and development. This fee decreases as the purchase amount increases, offering a balance for both sustainability and affordability.
- Payment Fee - This is a fee charged by our payment processor Stripe for handling operation costs. It covers the cost of fraud prevention, data security, network maintenance, and other operational expenses.
Sales Tax
YZZY is required by US law to apply sales tax for every sale that our users make on the platform. The tax rate depends on your location.
Statewide sales tax:
Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming
No sales tax:
Delaware, New Hampshire, Oregon
No statewide sales tax, but local tax can be applied:
Alaska, Montana
Payout Fee
This fee is charged when you withdraw money from your in-app wallet for handling the payout.
If you have any additional questions, you can always contact the Support Service.