I’ve read their IAP documentation but couldn’t find a clear answer.
Can I sell my own music (hosted on my server) using IAP?
Will Apple approve my app?
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Since you use IAP and have the proper rights to sell the music there will be no problem at all.
Maybe this will help: https://developer.apple.com/library/mac/#documentation/NetworkingInternet/Conceptual/StoreKitGuide/APIOverview/OverviewoftheStoreKitAPI.html#//apple_ref/doc/uid/TP40008267-CH100-SW1