AWS Marketplace Sellers & Tax Collection

Please be advised that a number of foreign countries have enacted legislation which requires non-resident sellers of electronically supplied services (ESS) to charge value added taxes (VAT) or goods and services tax (GST) to end customers located in their country. A number US states and foreign taxing jurisdictions also require marketplace operators, such as AWS Marketplace, to collect sales tax, VAT or GST in their own name, on sales made by a third party marketplace sellers. Outlined below is a list of locations where, in order to comply with these non-resident seller and/or marketplace facilitator laws, AWS will collect sales tax, VAT or GST and remit it to the local tax authorities, in the name of AWS, Inc. Note that there are also some US states or countries which may require you, as the legal AWS Marketplace seller, to register for and remit taxes on B2C and possibly B2B sales of software/ESS, such as Japan mentioned below. AWS recommends that you consult a tax advisor to determine your tax obligations in these and other taxing jurisdictions.  

In the US, AWS offers the AWS Marketplace Tax Calculation Service to help you meet your US Sales Tax compliance obligations. For more information about the Tax Calculation Service go to the AWS Marketplace User Guide.

Jurisdictions which require non-resident sellers to collect VAT on sales of cloud and similar services

Is AWS required to collect and remit tax on sales made by the AWS Marketplace Seller

Australia

Yes – B2C only

European Union*

Yes – B2B and B2C where applicable

India

Yes – B2C only

Kingdom of Saudi Arabia

Yes – B2C only

Malaysia Yes – B2B and B2C

New Zealand

Yes – B2C only

Norway

Yes – B2C only

Russia

Yes – B2C only until 1.1.19, afterwards B2B & B2C

Singapore Yes – B2C only
South Africa

Yes – B2B and B2C

South Korea

Yes – B2C only

Taiwan

Yes – B2C only

Turkey

Yes – B2C only

United States

Yes – Only in specified states, see below

* The EU comprises of Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Isle of Man, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the United Kingdom

 

United States

The following states require AWS to collect and remit tax on taxable sales made by the AWS Marketplace Seller (effective date as noted):

Alabama (January 1, 2019)

Arizona (October 1, 2019)

Arkansas (July 1, 2019)

California (October 1, 2019)

Colorado (October 1, 2019)

Connecticut (December 1, 2018)

District of Columbia (April 1, 2019)

Georgia (April 1, 2020)

Hawaii (January 1, 2020)

Idaho (June 1, 2019)

Illinois (January 1, 2020)

Indiana (July 1, 2019)

Iowa (January 1, 2019)

Kentucky (July 1, 2019)

Maine (October 1, 2019)

Maryland (October 1, 2019)

Massachusetts (October 1, 2019)

Michigan (January 1, 2020)

Minnesota (October 1, 2018)

Nebraska (April 1, 2019)

Nevada (October 1, 2019)

New Jersey (November 1, 2018)*

New Mexico (July 1, 2019)

New York (June 1, 2019)

North Carolina (February 1, 2020)

North Dakota (October 1, 2019)

Ohio (September 1, 2019)

Oklahoma (July 1, 2018)

Pennsylvania (April 1, 2019)

Rhode Island (July 1, 2019)

South Carolina (April 26, 2019)

South Dakota (March 1, 2019)

Tennessee (October 1, 2020)

Texas (October 1, 2019)

Utah (October 1, 2019)

Vermont (June 1, 2019)

Virginia (July 1, 2019)

Washington State (January 1, 2018)

Wisconsin (January 1, 2020)

West Virginia (July 1, 2019)

Wyoming (July 1, 2019)

Sales tax will be collected on all taxable sales as determined by AWS.

* Under New Jersey law, sales of prewritten software delivered electronically and used directly and exclusively in the conduct of the purchaser’s business are exempt from sales tax. We assume all New Jersey purchasers use offerings purchased on AWS Marketplace exclusively in their business.

Bahrain

Sellers

As a Bahraini (BH) seller, you may have an obligation to calculate, collect and remit Indirect Taxes (eg VAT, GST, etc.), as well as issue Tax Invoices in Bahrain, as well as other countries where your customers are located.

AWS Marketplace makes available to you a Monthly Seller Report to help you identify your Indirect Tax obligations. Please consult with your accountants or tax advisors.

The information below is a guide to help you assess your obligations, based on the location of your customers.

Your customer is in Bahrain:

As legal Seller, you are responsible for VAT calculation, collection, invoicing and remittance, if applicable. Please consult with your accountants or tax advisors.

Your customer is located outside Bahrain:

There are countries where AWS, as the marketplace operator, will calculate, collect, invoice and remit the Indirect Taxes. You can find the full list of countries on this page.

If your customer is located in a country that is not on the list, you may have an obligation to calculate, collect, invoice and remit the Indirect Taxes in that country. Please consult with your accountants or tax advisors.

Buyers

As a Bahraini (BH) customer of AWS cloud services, your purchases on the AWS Marketplace may be taxed differently depending on:

  • The location of the Seller you are buying from; and
  • Whether you are registered for VAT in Bahrain (and have updated your Tax Settings).

Your Seller is in Bahrain:

The Seller may charge you separately for Bahraini VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.

Your Seller is located outside Bahrain:

If you are registered for VAT in Bahrain and your account information is up-to-date (you can check by visiting the Tax Settings page of the AWS Billing Console, you may have to self-assess Bahraini VAT under the reverse-charge mechanism. Please consult with your accountants or tax advisors.

If you are not registered for VAT in Bahrain and your account information is up-to-date (you can check by visiting the Tax Settings page of the AWS Billing Console. The Seller may charge you separately for Bahraini VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.

France

You could be liable for French taxes and social security contributions on transactions from, with, or in France. To help you comply with any potentially applicable French tax obligations, AWS Marketplace sends you the following:

  • A monthly report listing your sales transactions from, with, or in France that occur through AWS Marketplace. The monthly reports contain the transactions from the previous month.
  • An annual report summarizing your sales transactions from, with, or in France during a given year. The annual reports are sent to you no later than January 31 of the following year.

For more information, consult your tax adviser or see the following websites:

Norway

Sellers

As a Norwegian (NO) seller, you may have an obligation to calculate, collect and remit Indirect Taxes (eg VAT, GST, etc.), as well as issue Tax Invoices in Norway, as well as other countries where your customers are located.

AWS Marketplace makes available to you a tax items data feeds through Seller Data Delivery Service to help you identify your Indirect Tax obligations. For more information, see AWSMP blog post and technical documentation. Please consult with your accountants or tax advisors.

The information below may help you assess your obligations, based on the location of your customers.

Your customer is in Norway:

Indirect Tax obligations with respect to Norwegian customers depend on whether the customer is registered in Norway and has provided AWS with a Norwegian VAT Registration Number:

  1. If your customer has not provided AWS with a Norwegian VAT Registration Number: AWS will handle VAT calculation, collection, invoicing and remittance. You do not have any VAT obligations with respect to that customer’s purchases on AWS Marketplace.

  2. If your customer has provided AWS with a Norwegian VAT Registration Number: You (and not AWS) will be responsible for VAT calculation, collection, invoicing and remittance for that customer, if applicable. Please consult with your accountants or tax advisors.

Your customer is located outside Norway:

If your customer is located in certain countries, AWS, as the marketplace operator, will handle calculating, collecting, invoicing and remittance of Indirect Taxes with respect to that customer. You can find the full list of countries on this page.

If your customer is located in a country that is not on the list, you may have an obligation to calculate, collect, invoice and remittance of Indirect Taxes in that country. Please consult with your accountants or tax advisors.

Buyers

As a Norwegian (NO) customer of AWS cloud services, your purchases on the AWS Marketplace will be taxed differently depending on:

  • Whether you are registered for VAT in Norway (and have updated your Tax Settings); and
  • The location of the Seller you are buying from.

You are registered for VAT in Norway:

You can check that your account information is up-to-date by visiting the Tax Settings page of the AWS Billing Console.  

  1. If you are buying from a Norwegian Seller, the Seller may charge you separately for Norwegian VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.

  2. If you are buying from a non-Norwegian Seller, you may need to self-assess Norwegian VAT, based on your circumstances. Please consult with your accountants or tax advisors.

You are not registered for VAT in Norway:

You can check that your account information is up-to-date by visiting the Tax Settings page of the AWS Billing Console.

Norway has specific rules that transfer the Indirect Tax obligation from the Seller to AWS. This means that AWS will charge you Norwegian VAT on your purchases from Norwegian and foreign Sellers. Such VAT will be added to the price listed on the website and collected by AWS. You will see such VAT on the invoices issued by AWS Marketplace.

Japan

There has been a reassessment of the tax treatment of cross border digital services based on the 2015 Japan Tax Reform. As a result, AWS Marketplace sellers may have Japan consumption tax obligations for sales to customers in Japan. If you sell any software through AWS Marketplace to a customer in Japan (business or individual), you may now have to pay tax. Anyone whose billing address is in Japan is considered a customer in Japan in this case. We recommend that you consult with your tax advisor to determine whether you have tax obligations in connection with this reassessment.

Switzerland

Sellers

As a Swiss (CH) seller, you may have an obligation to calculate, collect and remit Indirect Taxes (eg VAT, GST, etc.), as well as issue Tax Invoices in Switzerland, as well as other countries where your customers are located.

AWS Marketplace makes available to you a Monthly Seller Report to help you identify your Indirect Tax obligations. Please consult with your accountants or tax advisors.

The information below is a guide to help you assess your obligations, based on the location of your customers.

Your customer is in Switzerland:

As legal Seller, you are responsible for VAT calculation, collection and invoicing, if applicable. Please consult with your accountants or tax advisors.

Your customer is located outside Switzerland:

There are countries where AWS, as the marketplace operator, will calculate, collect, invoice and remit the Indirect Taxes. You can find the full list of countries on this page.

If your customer is located in a country that is not on the list, you may have an obligation to calculate, collect, invoice and remit the Indirect Taxes in that country. Please consult with your accountants or tax advisors.

Buyers

As a Swiss (CH) customer of AWS cloud services, your purchases on the AWS Marketplace may be taxed differently depending on:

  • The location of the Seller you are buying from; and
  • Whether you are registered for VAT in Switzerland (and have updated your Tax Settings).

Your Seller is in Switzerland:

The Seller may charge you separately for Swiss VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.

Your Seller is located outside Switzerland:

If you are registered for VAT in Switzerland and your account information is up-to-date (you can check by visiting the Tax Settings page of the AWS Billing Console):

  • You may have to self-assess Swiss VAT under the reverse-charge mechanism.
  • If your Seller is registered for VAT in Switzerland, the Seller may charge you separately for Swiss VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice.

Please consult with your accountants or tax advisors.

If you are not registered for VAT in Switzerland and your account information is up-to-date (you can check by visiting the Tax Settings page of the AWS Billing Console), the Seller may charge you separately for Swiss VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.

United Arab Emirates

Sellers

As a seller located in the United Arab Emirates (UAE), you may have an obligation to calculate, collect and remit Indirect Taxes (eg VAT, GST, etc.), as well as issue Tax Invoices in the UAE, as well as other countries where your customers are located.

AWS Marketplace makes available to you a Monthly Seller Report to help you identify your Indirect Tax obligations. Please consult with your accountants or tax advisors.

The information below is a guide to help you assess your obligations, based on the location of your customers.

Your customer is in the UAE:

As legal Seller, you are responsible for VAT calculation, collection, invoicing and remittance, if applicable. Please consult with your accountants or tax advisors.

Your customer is located outside the UAE:

There are countries where AWS, as the marketplace operator, will calculate, collect, invoice and remit the Indirect Taxes. You can find the full list of countries on this page.

If your customer is located in a country that is not on the list, you may have an obligation to calculate, collect, invoice and remit the Indirect Taxes in that country. Please consult with your accountants or tax advisors.

Buyers

As a UAE customer of AWS cloud services, your purchases on the AWS Marketplace may be taxed differently depending on:

  • The location of the Seller you are buying from; and
  • Whether you are registered for VAT in the UAE (and have updated your Tax Settings).

Your Seller is in the UAE:

The Seller may charge you separately for UAE VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.

Your Seller is located outside the UAE:

If you are registered for VAT in the UAE and your account information is up-to-date (you can check by visiting the Tax Settings page of the AWS Billing Console), you may have to self-assess UAE VAT under the reverse-charge mechanism. Please consult with your accountants or tax advisors.

If you are not registered for VAT in the UAE and your account information is up-to-date (you can check by visiting the Tax Settings page of the AWS Billing Console), The Seller may charge you separately for UAE VAT, in addition to the amount collected by AWS. The Seller may also send you a VAT Invoice. Please consult with your accountants or tax advisors.