AWS Marketplace- Tax Help for Buyers

  • When you make a purchase on AWS Marketplace, AWS will calculate sales taxes, VAT, GST, service tax, etc. (“Indirect Taxes”), if applicable, based on the location of your AWS account. See how AWS determines the location of your AWS account in Tax Help - Account Location.

    If your AWS account is part of an AWS Organization, AWS will calculate relevant Indirect Taxes based on the location of the AWS account that has made the purchase on AWS Marketplace, not the location of the Payer Account. You will need to ensure that your AWS account has the correct tax, billing, and contact information. Your payer account may also enable Tax Settings Inheritance if all accounts within the AWS Organization should be treated consistently for tax purposes. See more information on Managing your account - AWS Billing and Cost Management. Please note that the Tax Settings Inheritance feature does not automatically apply your US sales tax exemptions to all accounts. You will need to upload a valid tax exemption certificate for each linked account or reach out to AWS Support for assistance.

    • Amazon Web Services, Inc., a U.S. based entity, is the marketplace operator of AWS Marketplace for Buyers located in US, APAC, LatAm, Canada, South Africa and Turkey, not including Japan and Australia
    • Amazon Web Services EMEA Sarl, a Luxembourg based entity, is the marketplace operator of AWS Marketplace for Buyers located in EMEA not including South Africa and Turkey. (See Note 1)
    •  Amazon Web Services Japan G.K, a Japan based entity, is the marketplace operator of AWS Marketplace for Buyers located in Japan. (See Note 1)
    • Amazon Web Services Australia Pty Ltd., an Australia based entity, is the marketplace operator for Buyers located in Australia. (See Note 1)
    • Amazon Web Services, Inc is the marketplace operator for all purchases of Amazon Bedrock regardless of your Buyer Account Location.

    Note 1: This is applicable where the Seller for the product listed on the AWS Marketplace has been onboarded to either Amazon Web Services EMEA Sarl, Amazon Web Services Japan or Amazon Web Services Australia Pty Ltd. Where the Seller has not been onboarded to these AWS entities, Amazon Web Services Inc will remain as the marketplace operator.

    If required by your country’s Indirect Tax laws, AWS will collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority in AWS’s name. If you have a “Special Status” and should not be charged Indirect Taxes, AWS will take this into account, as long as your AWS account has up-to-date information.In some countries, AWS is not required to collect Indirect Taxes from you and remit it to the tax authority in AWS’s name if you have a valid tax registration number (“TRN”) in that country. You may be required to self-assess VAT depending on local regulations. For more information on TRNs please click here.

     

    Country Specific Information

    • USA

    • Amazon Web Services, Inc will calculate taxes in specified US states include Alabama, Arizona, Arkansas, California, Colorado, Connecticut, District of Columbia, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Nebraska, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Puerto Rico, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington State, Wisconsin, West Virginia, Wyoming. Sales tax will be collected on all taxable sales as determined by AWS.

      For more information on how tax is calculated and applying exemptions, go to Tax Help - United States.

       

    • APAC

    • Amazon Web Services, Inc., a U.S. based entity, is the marketplace operator of AWS Marketplace. If required by your country’s Indirect Tax laws, AWS will collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority in AWS’s name.

      An account with a valid TRN uploaded is termed “B2B” below, and an account without a valid TRN uploaded is termed “B2C” below. The table indicates where AWS will collect Indirect Taxes from you and where the Seller is responsible to collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority in AWS’s name.

      Jurisdictions Software and data products Remote Professional Services Current Indirect Tax Rate
      Bangladesh B2C only Seller 15%
      India B2C only Seller 18%
      Indonesia B2B and B2C Seller 11% [1]
      Laos B2B and B2C Seller 10%
      Malaysia B2B and B2C Seller 8%
      New Zealand B2C only B2C only 15%
      Singapore B2C only Seller 9%
      South Korea B2C only Seller 10%
      Taiwan B2C only B2C only 5%
      Thailand B2C only Seller 7%

      [1] The VAT rate in Indonesia is expected to increase to 12% from 2025.

    • LatAM and Canada

    • If required by your country’s Indirect Tax laws, AWS will collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority in AWS’s name.

      An account with a valid TRN uploaded is termed “B2B” below, and an account without a valid TRN uploaded is termed “B2C” below.

      Jurisdictions Software and data products Remote Professional Services Current Indirect Tax Rate
      Canada – GST/HST B2B and B2C B2B and B2C 5%, 13%, or 15%
      Canada – QST B2B and B2C B2B and B2C 9.98%
      Canada – SK PST B2B and B2C B2B and B2C 6%
      Canada – BC PST B2B and B2C B2B and B2C 7%
      Chile B2C only unless withholding tax applies, see here
      		 Seller 19%


      Colombia

      Amazon Web Services, Inc., a U.S.-based entity, is the marketplace operator for AWS Marketplace purchases made by Colombian customers. If you are a Colombian customer who purchases software, data, or professional services via the AWS Marketplace from a Colombian seller (e.g., a consulting partner in a channel partner private offer), then AWS will issue you a tax inclusive commercial invoice and will remit the Colombian VAT to the seller of record.

      The seller of record is responsible for issuing you a tax compliant invoice (electronic invoice) and remitting the VAT to the Colombian tax authority.

       

    • EMEA

    • If required by your country’s Indirect Tax laws, AWS will collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority in AWS’s name.

      An account with a valid TRN uploaded is termed “B2B” below, and an account without a valid TRN uploaded is termed “B2C” below. For more information on TRNs please see here

      The table indicates where AWS will collect Indirect Taxes from you and where the Seller is responsible to collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority.

      1. If you receive an invoice from AWS EMEA Sarl

      If you receive an invoice from AWS EMEA Sarl., i.e. you make a purchase from an EMEA eligible Seller on AWS Marketplace, the table below indicates where AWS will collect Indirect Taxes from you and where the Seller is responsible to collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority.


      Jurisdictions
      Software and data products      		 Remote Professional Services Current Indirect Tax Rate
      European Union* B2B** and B2C Seller Tax Help - VAT Rates Summary Table (EMEA)
      Kingdom of Saudi Arabia B2B and B2C Seller 15%
      Norway B2B and B2C Seller 25%
      United Kingdom B2B and B2C Seller 20%
      Russia B2C*** Seller 20%
      Kenya B2B and B2C Seller 16%
      Cameroon B2B and B2C Seller 19.25%

      * The European Union 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 and Sweden
      ** AWS will collect VAT on B2B transactions only in the EU countries and in the UK where AWS Europe has a branch, (please see here for EU branch countries). Otherwise, you may need to self-assess VAT. Please consult your accountant or tax advisors.
      ***B2B customers in Russia may need to self-assess VAT. Please consult your accountant or tax advisors.

      2. If you receive an invoice from AWS Inc

      If you receive an invoice from AWS Inc, i.e. you make a purchase from a non-EMEA eligible Seller on AWS Marketplace, the table below indicates where AWS will collect Indirect Taxes from you and where the Seller is responsible to collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority.

      AWS Inc will NOT collect Indirect Taxes on B2B transactions and you may need to self-assess Indirect Taxes. Please consult your accountant or tax advisors.


      Jurisdictions
      Software and data products      		 Remote Professional Services Current Indirect Tax Rate
      European Union* B2C Seller Tax Help - VAT Rates Summary Table (EMEA)
      Kingdom of Saudi Arabia B2C Seller 15%
      Norway B2C Seller 25%
      United Kingdom B2C Seller 20%

      * The European Union 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 and Sweden

    • South Africa & Turkey

    • Amazon Web Services, Inc., a U.S. based entity, is the marketplace operator of AWS Marketplace. If required by your country’s Indirect Tax laws, AWS will collect Indirect Taxes from you, issue a tax invoice, and remit it to the tax authority in AWS’s name.

      An account with a valid TRN uploaded is termed “B2B” below, and an account without a valid TRN uploaded is termed “B2C” below.

      Jurisdictions Software and data products Remote Professional Services Current Indirect Tax Rate
      South Africa B2B and B2C Seller 15%
      Turkey B2C only Seller 18%



       

    • Japan

    • Amazon Web Services Japan G.K, a Japan based entity, is the marketplace operator of AWS Marketplace, except for Amazon Bedrock sold by Third Party Sellers (such as AI21 Labs, Anthropic, Cohere, Meta, Mistral AI, and Stability AI), for which Amazon Web Services Inc., a US based entity, continues to be the marketplace operator. 

      Amazon Web Services Japan G.K Marketplace

      From December 14, 2023, if you purchase software, data or professional services via AWS Marketplace, AWS Marketplace will begin collecting JCT on sales made by Japan-based Sellers to Japan-based Buyers, but the Buyer should reach out to the Seller to obtain a Tax Qualified Invoice (TQI). Sellers contact information can be found within their product listing page on AWS Marketplace.

      Note that AWS Japan will only collect the JCT from the Buyers and disburse this to the Japan-based Sellers for onward reporting and remittance to the Japan National Tax Authority ("NTA"). Sellers still have the sole responsibility of issuing TQI to the Buyers as well as accounting for and remitting the JCT to the NTA. 

      AWS Marketplace will not collect JCT on sales made by non-Japan-based Sellers (i.e Global ISVs). Non-Japan-based Sellers should make their own determination with regards to their own JCT obligation.

      Please reach out to the Seller via their product listing page on AWS Marketplace if you think the Seller should issue a TQI and collect JCT.

      Amazon Web Services Inc. Marketplace

      Amazon Web Services Inc., a US based entity, continues to be the marketplace operator of Amazon Bedrock sold by Third Party Sellers (such as AI21 Labs, Anthropic, Cohere, Meta, Mistral AI, and Stability AI). 

      AWS Marketplace will not collect JCT on sales made by non-Japan-based Sellers (i.e Global Bedrock Sellers). Non-Japan-based Sellers should make their own determination with regards to their own JCT obligation.

      Please reach out to the Seller via their product listing page on AWS Marketplace if you think the Seller should issue a TQI and collect JCT.

    • Australia

    • Amazon Web Services Australia Pty Ltd, an Australia based entity, is the marketplace operator of AWS Marketplace. Due to marketplace facilitator legislation, AWS is required to collect and remit GST on your purchases of software, data or professional services if the ‘seller of record’ is an Australian business.

       If the ‘seller of record’ is not an Australian business, AWS will collect GST on sales to B2C customers located in Australia but will not collect GST if you are a business customer. If you are a B2B and the ‘seller of record’ is not located in Australia, you should determine if GST is payable, and, if so, pay any GST using the reverse charge rules.

      An account with a valid TRN uploaded is termed “B2B” below, and an account without a valid TRN uploaded is termed “B2C” below.

      Jurisdictions Software and data products Remote Professional Services Current Indirect Tax Rate
      Australia B2B and B2C B2B and B2C 10%

       



       

  • A large number of offerings on AWS Marketplace are from third party sellers. For these offerings, AWS collects payment on behalf of sellers. The sellers are the legal seller of record of the offering. Sellers with paid products must be incorporated in an eligible jurisdiction listed in Getting Started as a Seller- AWS Marketplace

    You are required to review and determine your own withholding tax obligations when you purchase from sellers on AWS Marketplace. Please note that if you purchase/subscribe to more than one listing on AWS Marketplace, your consolidated bill may include line items for more than one offering. This means that you may be paying multiple sellers, which may require separate analysis for withholding tax purposes. Any required documentation from the seller should be provided directly to you by the legal seller of record, and not from AWS. We recommend that you consult with your tax team for any withholding tax questions or concerns.

    Some products on AWS Marketplace are offered by Amazon Web Services. If your purchase is sold by Amazon Web Services, then Amazon Web Services, Inc, a U.S. based entity, is the seller of record. Please reach out to AWS Support or your relevant AWS point of contact for any required documentation.