Sales Tax Exemption

Customers may qualify for sales tax exemption on Rackables if they’re purchasing eligible products for an approved tax-exempt use and provide valid documentation at checkout or during account review. Commonly eligible groups include:

• Resellers / VARs / IT Integrators – Purchasing gear for resale to their own customers and providing a valid resale or seller’s permit.

• Non-profit & charitable organizations – Recognized tax-exempt entities (such as 501(c)(3) organizations) purchasing equipment for their exempt activities.

• Government agencies – Federal, state, local, and tribal government entities buying equipment for official use.

• Educational institutions – Accredited K–12 schools, colleges, and universities purchasing equipment for institutional use.

• Healthcare & religious organizations – Hospitals, clinics, and houses of worship that hold tax-exempt status in their state.

• Manufacturers & data center operators with production exemptions – Entities that qualify for exemption on equipment directly used in eligible production, processing, or data center operations, where allowed by law.

All exemptions are subject to verification. Customers will need to submit the appropriate state- or country-specific exemption certificate or supporting documentation before Rackables can remove sales tax from applicable orders.

How do I apply tax exemption?

You'll be able to apply your tax exemption status during checkout by checking the box labeled 'apply tax exemption' under the shipping form.

If we don't have your tax exemption status on file for your account your checkout page will have a warning on it letting you know that you will have to upload your ST-3 form before your order is processed.

After you successful checkout your order will be placed on hold and you'll be prompted to upload your exempt form for review.