At UniteSync, we aim to provide clarity and transparency in royalty collections and distributions. However, you might notice that the payment received does not exactly match the reported statement. Here are some common reasons for this discrepancy:
Foreign citizens, European citizens, or businesses that are not VAT-registered are subject to a 10% withholding tax on royalties. This deduction is mandated by law, specifically under Article 31 of the Consolidated Text of the Non-Resident Income Tax Law (Royal Decree 5/2004 of March 5). This law ensures compliance with international taxation standards and applies to royalties paid to individuals or entities outside the payer’s jurisdiction.
For example, if you are not VAT-registered within the EU or are a foreign citizen receiving royalties, your payment will reflect a 10% deduction.
Royalties collected in different regions are often converted into your local currency. Variations in exchange rates between the reporting period and the payment date can result in minor discrepancies between the statement and the amount received.
Some payment processing methods or banks may charge fees for transferring funds. These charges are beyond UniteSync’s control and may reduce the final payment amount received in your account.
Occasionally, adjustments may be made to statements to account for errors, corrections, or updates from societies or other collection agencies. These adjustments can result in slight differences between the reported and received amounts.
The reported statement reflects royalties for a specific period. However, depending on the payment schedules of collection societies or distributors, there may be a delay in transferring the full reported amount to your account.
If you believe there is an error in your payment, please:
Review Your Statement: Confirm the reported amounts and cross-check against the payment.
Understand Tax Obligations: Ensure you are aware of any tax treaties or exemptions that might apply to your situation.
Contact Support: If discrepancies persist, contact our support team at support@unitesync.com with your statement and payment details.
While these factors can create minor discrepancies, UniteSync is committed to ensuring accurate reporting and prompt payments. Transparency is our priority, and we’re here to assist you in understanding and optimizing your royalty collections.
For more information about withholding tax or other related topics, please refer to our Help Center or consult with your tax advisor.
