Electronic Tax Documents Explained for Partners
If you earn income on impact.com, impact.com doesn't withhold tax from your earnings. Instead, you may need to submit an electronic tax document to comply with U.S. tax law.
Important! If you're based in the U.S. or partner with U.S. brands, you won't be able to withdraw from your account or receive any payouts until you submit the correct tax form to impact.com. For U.S. partners, a W-9 form is required once your yearly earnings exceed the IRS reporting threshold of $2,000 USD in a U.S. tax year (January 1 to December 31). Until the required tax form is submitted, withdrawals and payouts may be restricted.
Understand tax form requirements
As a partner based in the United States or working with brands based in the United States, you're required to submit a form to impact.com. Only partners based outside the United States (individuals and entities) partnering exclusively with brands based outside of the United States will not need to submit these tax documents.
Which form do I need?
impact.com requires you to submit one of the following tax forms electronically. The form you need depends on 2 things:
Are you registered in the U.S.?
Do you represent an individual or an entity?
All
U.S.-based
For all U.S.-based partners (individuals and entities). This form is required once your yearly earnings exceed the IRS reporting threshold of $2,000 USD in a U.S. tax year (January 1 to December 31).
Individuals
Non-U.S.-based
For non-U.S.-based individuals partnered with brands based in the United States (i.e., you're operating by yourself and not as an entity in your country).
Entities
Non-U.S.-based
For non-U.S.-based entities partnered with brands based in the United States (i.e., you're operating as an organization or company in your country).
Individuals or entities
Non-U.S.-based
For non-U.S.-based individuals or entities receiving U.S.-sourced income, connected to U.S. trade or business.
Governments or tax-exempt entities
Non-U.S.-based governments/entities
For non-U.S. governments or other tax-exempt entities to certify they are the beneficiary or financial account holder.
Third-party entities
Non-U.S.-based entities
For non-U.S. entities that are the intermediary or flow-through entity receiving payments on behalf of another.
impact.com cannot provide tax advice. If you have any questions about which tax form to submit or how to complete it, please consult a qualified tax advisor.
Note: If you operate under the impact.com entity invoicing method, you're exempt from submitting W-8 forms, even if the brand you are working with is U.S.-based.
Minimize tax-related payout delays
To avoid unnecessary payment holds, consider the following when filling out your W-8 and W-9 tax form information:
Treaty claims: If your permanent residence address is located in a country with which the U.S. has a tax treaty, make a treaty claim and provide a U.S. or Foreign Taxpayer Identification Number (TIN).
The treaty country should generally match your permanent residence address. Find a list of countries with a U.S. income tax treaty on the IRS website—Table 4. Limitation on Benefits in the IRS's tax treaty tables can help you determine the proper rate, treaty article, and Limitation on Benefits (LOB) article to cite.
Consistent information: The information on your tax form should match what you provided during onboarding. If you're submitting a Form W-8 as a non-U.S. person, don't state that you're a U.S. person or provide information tied to a U.S. corporation or residence.
Correct form type: Submit the appropriate form type, with all required accompanying information or certifications.
Note: W-9 upload issues may be caused by temporary delays or limitations with the U.S. Government's Internal Revenue Service (IRS) online services. impact.com does not manage or control the connection to these IRS services and is reliant on their availability to fulfill this legal obligation.
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