Tax information for sellers on Red Hat Marketplace

Tax information and vendor relationship by jurisdiction

The following chart shows information on how IBM collects tax in the U.S. and across the globe according to Red Hat Marketplace Digital Listing Agreement.

JurisdictionIBM Tax InformationVendor relationship
United StatesIBM Corporation is registered for sales and use tax in all U.S. states where such tax is imposed, (including the District of Columbia and U.S. territories: Guam, Virgin Islands, and Puerto Rico), and most U.S. local taxing jurisdictions. IBM will also add applicable tax to the Marketplace Facilitator Fee for US vendors.Marketplace
Australia
Austria
Azerbaijan
Belgium
Brazil
Brunei
Canada
China
Croatia
Cyprus
Czechia
Denmark
Egypt
Estonia
Finland
France
Germany
Hong Kong
Hungary
India
Ireland
Israel
Italy
Japan
Korea
Latvia
Lithuania
Luxembourg
Malaysia
Netherlands
New Zealand
Norway
Philippines
Poland
Portugal
Romania
Saudi Arabia
Singapore
South Africa
Spain
Sweden
Switzerland
Taiwan
Thailand
Turkey
United Arab Emirates
United Kingdom
Vietnam
Not applicableVendor is contracted with IBM Corporation, allowing IBM and its affiliates to re-sell Vendors products in the designated region.

Tax Terminologies

The following lists common tax terms used by IBM.

  • VAT: Value Added Tax
  • GST: Goods and Services Tax
  • TRN: Tax Registration Numbers
  • B2B: Business to Business transactions
  • B2C: Business to Consumer transactions

Non-US vendor tax registration status

Outside the United States, IBM collects Tax Registration Numbers (TRN) from partners in certain countries, where required, to validate the status as a business-to-business (B2B) provider. In most countries this is associated with Value Added Taxes (VAT) or Goods and Services Tax (GST), but the name and format vary by country. The collection of TRN is based on the headquarters address you provided for the legal entity doing business with IBM.

IBM also collects TRN from partners for other countries as required in order to comply with tax laws for selling in those countries.


Tax withholding on payments to you

IBM may be required to withhold corporate income tax from payments to you when your legal entity is outside of the United States. This withholding is determined by the US Internal Revenue Service Form W8 that you provided to IBM. The withholding rate varies by country.