As long as you are not residing in any of those countries, I suspect you can wait for the tax representative to contact you and ask you for the $4.23 you might actually owe.
Interesting scam - write to all developers demanding some small payment for taxes owed in Yugoslavobiaville.
I too have the same question as you. I've even copied the same piece of text as you hoping somebody could help.
The easy solution would be to restrict my apps to only those countries listed in EXHIBIT B. Number 2. Alternatively maybe we could distribute our app for free in thoss countries.
It would be interesting to hear from other developers who sell internationally about what they do with regards to tax collection.
Wayne, based on the silence, I think people are hoping they don't get caught, not realizing that in some cases, the penalties may far exceed the amount they would owe otherwise.
I did exactly as you (intended to) describe. I only sell in countries listed in Number 1. That's about 50 out of the 150+ that Apple claims to support us in. Very sad. In my case, this forced me out of a large group of potential customers in just one of the countries.
As for distributing for free, that's not really practical either because no way is provided to do per-region pricing, except for subscriptions.
TestFlight is the only possibility... as long as you release an update every 90 days or less.