Why am I charged sales tax on my market data subscriptions?

All Market Data, Research, and News subscription fees are subject to tax and/or VAT (Value Added Tax). IBKR collects this tax from customers in certain US States (depending on local jurisdiction), Europe, Australia, Canada, and Japan, among other locations.

The collection and tax rate is collected based on the address of the account and its local tax rate, and is charged in the account’s local currency.

Additional Information

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Why would I need to add Tax Residency in my account application?
How are the capital gains taxes on Brazilian trades calculated?
What taxes are applicable to trading my activity in Brazil?
Where can I see the tax I was charged for market data?