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Why not resist! Apple collects 40 billion yuan in Apple tax in China each year: the commission rate remains the highest global standard

Xue Hua Sat, May 11 2024 08:38 AM EST

On May 10th, it was reported that Apple collects 40 billion yuan in Apple tax in China each year, making it the highest commission rate globally.

According to Apple's financial report, Apple's total revenue for the 2023 fiscal year is 383.3 billion US dollars, with service revenue of 85.2 billion US dollars, accounting for 22% of total revenue.

The gross profit margin for products like iPhone and iPad is 36.5%, while the gross profit margin for service revenue is 70.8%, nearly double that of hardware products.

Data shows that China is currently one of Apple's top three revenue-generating regions, and the only country among them that does not have any specific "Apple tax" preferential rates. s_6e79554d4f244022b320fbf89ff1998b.jpg Specifically, the tax rate for "standard enterprises" in China is 30%, while small businesses are taxed at 15%.

For comparison, after tax rate adjustments, the figures in the United States are 27% and 12%, in the European Union they are 17% and 10%, and in South Korea they are 26% and 11%, all lower than China's rates.

From the EU to the US market, controversies surrounding the "Apple tax" have never ceased. Around 2021, apart from the US, global regions conducted anti-monopoly investigations on Apple, which also pressured the "Apple tax" to loosen.

So the question arises, why don't some Apple users resist? s_62b10552d0ae41dd90113b3dbe2c0ef1.jpg