PSC DB10: IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS — Federal Procurement Code

Description

Computing delivered as a service in a public or private cloud environment, such as services for traditional mainframe computers and operations running Windows, Linux, converged infrastructure or UNIX operating systems.

Includes

Software that is licensed for use over a defined period of time. This can also be referred to term, temporary, provisional, or short-term.

Excludes

Support for High Performance Computing.

Notes

Software as a Service, Service Contracts, Subscription based software provisioning, and device rentals are considered services.

Suggested adjacent classifications

PSC codes describe what the government buys. These related classifications help connect procurement codes to industries, commodities, and trade workflows.

Frequently asked questions

What is NAICS DB10?

NAICS DB10 is the North American Industry Classification System code for IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS. It classifies this business activity for statistical, regulatory, and government procurement purposes. Federal agencies use NAICS codes to collect and publish data about the US economy, determine SBA size standards, and set aside contracts for small businesses.

What licenses and permits does a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS need?

A IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS typically needs a local business license, a federal EIN from the IRS, and industry-specific permits depending on the sector. Check with your city or county clerk for a general business license, your state's professional or industry licensing board for any required occupational licenses, and your state's tax authority for a sales tax permit if you sell taxable goods or services.

How do I register a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS business in the United States?

To register a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS business, first choose your legal structure: sole proprietorship (simplest, uses SSN), LLC (personal liability protection, files with your Secretary of State), or corporation (Form 1120 or 1120-S). Register your business name (DBA) with your county if operating under a trade name. Obtain an EIN from the IRS at irs.gov/ein. Register with your state revenue department for any applicable taxes.

What tax forms does a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS file with the IRS?

Tax forms depend on your entity type. A sole proprietor files Schedule C with Form 1040 and Schedule SE for self-employment tax (15.3%). An LLC taxed as a partnership files Form 1065 with Schedule K-1s. A C-Corporation files Form 1120 (21% flat rate). An S-Corporation files Form 1120-S. All businesses paying employees file Form 940 (FUTA) annually and Form 941 quarterly. Estimated tax payments are made via Form 1040-ES four times per year.

Is IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS the right NAICS code for my business?

Your NAICS code should reflect your primary business activity — the one generating the most revenue or value. If IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS describes your main line of business, NAICS DB10 is likely correct. If you have multiple distinct activities, you may need separate codes for statistical reporting. For federal contracting, your SAM.gov registration should use the code that best matches the work you perform. Review the official NAICS DB10 description and exclusions to confirm it fits your operations.

Does a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS need to register as a foreign entity to work across state lines?

Professional services delivered across state lines create both entity registration and individual licensing questions. If your professional entity (LLC, PC) has a physical presence, employees, or 'doing business' in another state, you typically must register as a foreign entity with that state's Secretary of State. Independent professionals providing occasional multi-state services often are individually licensed in each state but may not formally register their entity. Remote work considerations: post-COVID, many states take the position that providing professional services to residents of their state from outside creates a jurisdictional nexus requiring individual licensure.

Does a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS need a professional license or state board registration?

Many professional services — including lawyers, architects, engineers, accountants (CPA), real estate agents, insurance producers, landscape architects, and surveyors — require state licensing with education, exam, experience requirements, and ongoing continuing education. Operating without a required license can result in cease-and-desist orders, fines, and criminal charges. Even unlicensed professions should check for 'right to practice' laws. For example, some states restrict 'interior designer' title to licensed professionals.

Can a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS form an LLC, or does it require a Professional entity (PC/PLLC)?

Licensed professionals in most states cannot form a regular LLC and must instead form a Professional Corporation (PC), Professional LLC (PLLC), or Registered Limited Liability Partnership (LLP). This ensures personal liability for professional malpractice remains with the individual professional while protecting against the entity's business debts. All owners/members must hold the relevant professional license. Professional entities must file articles with both the Secretary of State and the licensing board, and entity names must include 'Professional,' 'PC,' or 'PLLC.'

Does a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS need E&O (Errors & Omissions) insurance?

Professional liability / E&O insurance protects a IT AND TELECOM - COMPUTE AS A SERVICE: MAINFRAME/SERVERS against claims of negligence, errors, or failure to perform professional duties. Many licensing boards require E&O as a condition of licensure (particularly for real estate, insurance, and certain design professionals). Even when not legally required, it is standard practice — commercial general liability policies exclude professional services. Policy limits typically range from $1M-$5M. Claims-made policies are most common, requiring 'tail' coverage when you stop practicing.