THE LEGALITIES OF SELF-PUBLISHING

From time to time I receive questions about legal stuff related to self-publishing, and a recent email from a fellow writer made me realize that I haven't yet dedicated a post to this. As I'm neck-deep with deadlines this month and I'll be writing like a shark for most of June because of it, I thought today would be the best time to write a post about it.

• What's the royalty rate of Amazon for self-publishers based in the Philippines?

It used to be that if you can't provide Amazon with a tax identification number issued by the US, you won't be able to take advantage of the tax treaty between PH and US. That means Amazon will automatically withhold 30% from your royalties. If, however, you were able to provide them with an US-issued TIN, then you'll be able to take advantage of the tax treaty and have Amazon only withhold 15% from your royalties.
Due to certain changes with KDP, however, I think you no longer need to provide Amazon with a U.S. issued TIN. I can't help with this, unfortunately, but if you try signing up for a KDP account, you'll be able to see if they still require one or not.

• Does Amazon send royalties by check?

If you cannot provide them with a US bank account for them to deposit your royalties to, then Amazon will send your royalties by check. With the latter, you will need to open a US dollar deposit account. With the former, you can check requirements of US banks that allow individuals to open accounts with them online.
Please keep in mind that Amazon also has the same requirements for affiliate commissions. If you can't provide them with US bank details, they will also mail you a check for this.

• How do you pay your taxes? 

Unfortunately, this matter isn't as cut and dried as we like. A lot of factors have to be considered, such as whether you set up a sole proprietorship as a self-publisher, etc. For this, I strongly recommend you consult an accountant.

• How do I self-publish with other retailers aside from Amazon?

Most other non-Amazon retailers require you to either be a US citizen or have a US-registered corporation before you can self-publish directly with them. This is obviously a deal breaker for most, but don't worry - there's another way to get around it. Simply upload via websites like Smashwords and Draft2Digital. Just remember to send them a completed W8-BEN form so that they'll only withhold 15% of your royalties instead of 30%. 

---

I think that's it, but in case you have additional questions just drop me a line by email, posting a comment here, or using my website's contact form. Happy self-publishing!