Oracle Cloud Infrastructure Documentation

Oracle Cloud Marketplace Paid Listings: Tax and Market Place Transactions by Publisher Policies

Learn about the current tax policies applicable to Your Paid Listings on the Oracle Cloud Marketplace.

Previous Publication: 01-February-2024

Revised: 04-March-2024

This document describes the current tax policies applicable to Your Paid Listings on the Oracle Cloud Marketplace. Oracle may change these policies at its sole discretion. Please read these policies carefully as they contain important tax information. These policies do not constitute tax advice; You are responsible for consulting with Your own tax advisor to ensure your compliance with these policies. For the purpose of these policies, the Oracle Cloud Marketplace Publisher Agreement You have entered into with Oracle shall be referred to as “the Agreement.” In the event of any conflicts between the terms of the Agreement and these policies, the terms of these policies shall control.

  1. Responsibility for U.S. Sales and Use Taxes, or other similar U.S. transaction based taxes (collectively referred to as “U.S. Sales Taxes”) pertaining to Your Marketplace Content (when referenced in these tax policies, Marketplace Content shall be as defined in the Agreement)
    1. In the District of Columbia, and the U.S. States listed in Appendix A –”) –

      For the purposes of U.S. Sales Taxes, Oracle is the marketplace facilitator, and You are the seller on record relating to a transaction with Customer(s) for the Marketplace Content. Since Oracle is obligated to collect and remit the U.S. Sales Taxes as a marketplace facilitator, You will provide Oracle with information regarding the characterization of Your Marketplace Content, including but not limited to whether Your Marketplace Content is treated as a cloud service or a software license for electronic download. Oracle will determine the taxability and charge, collect and remit the U.S. Sales Taxes, on Your behalf based on the characterization of Your Marketplace Content provided by You. Where required by law, Oracle will provide You with a statement of the U.S. Sales Taxes collected and remitted on Your behalf. .

    2. In all U.S. States ––

      Oracle does not guarantee or provide any warranties to You as to whether Oracle’s collection and/or remittance of the U.S. Sales Taxes on behalf of You is sufficient to satisfy Your U.S. Sales Taxes obligations or other responsibilities for transaction taxes. You agree to reimburse Oracle for any U.S. Sales Taxes related liabilities in the event of an audit by a tax authority and for refunds demanded by a Customer that cannot be recovered by Oracle from the relevant tax authority. These policies will be updated from time to time, including when a U.S. State changes, adopts or revises Marketplace Facilitator Laws, or brings other changes to marketplace facilitator’s obligations.

  2. Responsibility for All Other U.S. Taxes (other than U.S. Sales Taxes covered by Section 1 above) as applicable in the U.S. pertaining to Your Marketplace Content

    (i) Withholding income tax - You will provide Oracle with information regarding Your characterization of Your Marketplace Content for withholding tax purposes, including but not limited to whether You deem Your Marketplace Content to be a cloud service or a software license for electronic download. If Oracle is required to withhold any income taxes, Oracle will: (a) deduct such withholding income taxes from the amount otherwise owed to You, (b) pay the appropriate taxing authority, and (c) deliver to You an official receipt or other evidence of payment for any taxes withheld. You must provide accurate information regarding Your tax profile as requested by Oracle.

  3. Responsibility for All Non-U.S. Taxes that are applicable outside of the U.S. pertaining to the Marketplace Content

    Oracle is not responsible for collecting, reporting, or remitting any taxes that are applicable outside the U.S. in relation to a transaction with any Customer(s) located outside the U.S. for Your Marketplace Content, including sales, use, excise, import, export, value-added, withholding, and other taxes and duties assessed, incurred, or required to be collected except otherwise noted in Appendices B, C, and D.

  4. Responsibility for All Taxes (U.S. and Non-U.S.) pertaining to Publishing Fees

    Publishing Fees payable by You pursuant to the Agreement are exclusive of all sales, use, and similar taxes as may be applicable in any jurisdiction in which Your Marketplace Content is offered or marketplace facilitator is located or Customer is located. You will pay any taxes that are imposed and payable on Publishing Fees. All payments or deemed payments made by You to Oracle under the Agreement will be made free and clear of any deduction or withholding (including, but not limited to, cross-border withholding taxes), as may be required by law. If any such deduction or withholding is required on any payment, You will pay such additional amounts as are necessary so that the net amount received by Oracle is equal to the amount due and payable. Except as otherwise provided in this policy, You agree that Oracle is not obligated to determine whether taxes that are Your statutory obligations as per the applicable tax laws apply, and Oracle is not responsible for collecting, reporting, or remitting any taxes arising from any transaction that are Your statutory obligations as per the applicable tax laws. However, if a taxing authority requires Oracle to pay any of Your taxes (i.e., those taxes that are Your statutory liability as per the applicable tax laws), You will cooperate with Oracle to determine the amounts reimbursable to Oracle for the amounts paid.

APPENDIX A:

The following is a list of U.S. Jurisdictions as to which Section 1(i) of this policy applies, as of the date of this policy. The list does not include local tax jurisdictions that are responsible for legislating and administering their own taxes, and with which Oracle may be required to comply. This list will be updated as additional or revised marketplace facilitator laws are passed. The following jurisdictions require Oracle to collect and remit tax on taxable sales made by You (as of the dates below):

  • Alabama (January 1, 2019)
  • Arkansas (July 1, 2019)
  • Arizona (October 1, 2019)
  • California (October 1, 2019)
  • Colorado (October 1, 2019)
  • Connecticut (December 1, 2018)
  • District of Columbia (April 1, 2019)
  • Florida (July 1, 2021)
  • Georgia (April 1, 2020)
  • Hawaii (January 1, 2020)
  • Idaho (June 1, 2019)
  • Illinois (January 1, 2020)
  • Indiana (July 1, 2019)
  • Iowa (January 1, 2019)
  • Kansas (July 1, 2021)
  • Kentucky (July 1, 2019)
  • Louisiana (July 1, 2020)
  • Maine (October 1, 2019)
  • Maryland (October 1, 2019)
  • Massachusetts (October 1, 2019)
  • Michigan (January 1, 2020)
  • Minnesota (October 1, 2018)
  • Mississippi (July 1, 2020)
  • 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, 2018)
  • Puerto Rico (January 1, 2020)
  • Rhode Island (July 1, 2019)
  • South Carolina (November 1, 2018)
  • 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 (January 1, 2018)
  • West Virginia (July 1, 2019)
  • Wisconsin (January 1, 2020)
  • Wyoming (July 1, 2019)

Appendix B:

Please refer to the table below for the applicable operating model for each country for the purposes of the obligations relating to invoicing, tax collection, and other tax compliance purposes. Please refer to Appendix C for the detailed definitions of the operating models outlined below.
Operating Model Countries Covered
Operating Model – “Pure Marketplace Facilitator” as defined below United States
Operating Model – “Deemed Supply” as defined below United Kingdom*, Canada*, France, Germany, Italy, the Netherlands, Spain, Austria, Luxembourg, Switzerland, Ireland, Portugal, Sweden, Belgium, Mexico, Chile, Denmark, Poland, Finland, United Arab Emirates, Australia, Czechia, Lithuania, Greece, Romania, and Saudi Arabia.
Operating Model – “Limited Purpose Agency” as defined below Colombia*
Country Specific Models other than above Japan*, Brazil*
*Additional conditions apply; see Appendix D below.

Appendix C:

Definitions of the operating models for invoicing, tax collection, and other tax compliance purposes for a Publisher’s entity (hereinafter also referred to as seller) in the United States transacting with Customers outside the United States:
Seller Operating Model Obligations
United States entity “Pure Marketplace Facilitator” By posting Your Paid Listings on the Oracle Cloud Marketplace, You agree that Oracle acts as the marketplace facilitator as set forth in the applicable tax laws and regulations, and You are the seller on record relating to a transaction with a Customer for Your Marketplace Content in the local jurisdictions. Since Oracle is obligated to collect and remit the non-income-based taxes as a marketplace facilitator, You will provide Oracle with all necessary information regarding the taxability of Your Marketplace Content, including but not limited to whether Your Marketplace Content is treated as a cloud service or a software license for electronic download. Oracle will charge, collect, and remit the applicable non-income-based taxes on Your behalf based on the classification of Your Marketplace Content that is provided by You. Where required by law, Oracle will provide You with a statement of the non-income-based taxes collected and remitted on Your behalf.
United States entity “Deemed Supply”

Appointment of Oracle local entity as Your deemed supplier for the NIBT purposes:

By posting Your Paid Listings on the Oracle Cloud Marketplace, You agree that pursuant to all applicable tax laws and regulations that You, not Oracle, are acting as the distributor of Your Marketplace Content that a Customer acquires through the Oracle Cloud Marketplace. You appoint Oracle as Your independent limited purpose invoicing cum collection agent, solely for the purpose of following listed services of facilitating Customer(s) purchases through the Oracle Cloud Marketplace. In this limited role (i.e. independent limited purpose invoicing cum collection agent), You acknowledge that:

(A) Oracle will raise an invoice on Customer as a deemed sale on Your behalf in Oracle’s own name and Oracle will charge the applicable value added taxes (“VAT”), goods & services taxes (GST), harmonized sales tax (“HST”), service taxes, or any other non-income based taxes by whatever name (collectively “NIBT”) as an independent limited purpose invoicing cum collection agent, as applicable by the laws;

(B) To the extent applicable by the laws, Oracle will appropriately disclose such transactions in its tax returns and remit the tax liability to the applicable governmental authorities on the applicable statutory returns;

(C) Oracle will also act as a collection agent for collection of consideration and remittance of the same to You, per the terms and conditions as agreed in the Agreement, including but not limited to Section D2 therein;

(D) Oracle will receive on Your behalf amounts payable by a Customer when they acquire any of Your Marketplace Content through the Oracle Cloud Marketplace. Apart from the above, You grant Oracle the right to appoint third parties (solely as required to administer NIBT obligations and for collection and payout of applicable fees made under this Agreement) as sub-agents and to also grant any third parties appointed by Oracle the right to appoint other third parties as sub-agents

Taxes:

By posting Your Paid Listings on the Oracle Cloud Marketplace, you agree that Oracle will act as an independent limited purpose invoicing cum collection agent for You for managing Customer taxation, including calculating, collecting, and/or remitting certain taxes in its own name and tax registration, on Your behalf. This may also include validating the business status of Customers by obtaining tax registration numbers or exemption certificates. Oracle will invoice under its own name and tax registration number, and will report the invoices /sales undertaken on Your behalf in its own tax return.

Oracle makes no warranties that Oracle’s actions will completely satisfy Your statutory obligations in any country that follows this tax model. Oracle strongly recommends You work with Your own tax advisors to ascertain whether such Oracle-managed tax remittance sufficiently addresses Your compliance requirements.

You agree that Oracle is not your agent for any other purpose other than the limited purpose set forth herein.

United States entity “Limited Purpose Agency for the purposes of invoicing cum collection”

Appointment of Oracle local entity as Your independent limited purpose invoicing cum collection agent for the NIBT purposes:

By posting Your Paid Listings on the Oracle Cloud Marketplace, You agree that pursuant to all applicable tax laws and regulations that You appoint Oracle as Your independent limited purpose invoicing cum collection agent for Your Marketplace Content that a Customer acquires through the Oracle Cloud Marketplace. You acknowledge that You, not Oracle, are the distributor of Your content acquired through the Oracle Cloud Marketplace. You appoint Oracle as Your independent limited purpose invoicing cum collection agent, for the purpose of following listed services of facilitating Customer(s) purchases through the Oracle Cloud Marketplace. In this role, You acknowledge that:

(A) Oracle will raise an invoice/collection note on Customer on Your behalf in Oracle’s own name as well as NIBT as an independent limited purpose invoicing cum collection agent;

(B) Oracle will appropriately disclose the said transaction in its Non-income based tax returns and remit the tax liability (if any) to the government (on Your behalf) vis applicable statutory returns;

(C) Oracle will also act as a collection agent for collection of consideration and remittance of the same to You, per terms and conditions as agreed in the Agreement, including but not limited to in Section D2 therein;

(D) Oracle will receive on Your behalf amounts payable by a Customer when they acquire any of Your Marketplace Content through the Oracle Cloud Marketplace. Apart from the above, You grant Oracle the right to appoint third parties (solely as required to administer NIBT and for collection and payout of applicable fees made under this Agreement) as sub-agents and also grant any third parties appointed by Oracle the right to appoint other third parties as sub-agents.

(E) You acknowledge that the sale/supply of Your Marketplace Content happens directly from You to Your Customer, that Your agreement with Your Customers shall specify that the Customer shall be responsible to self-assess and pay all NIBT obligations on the purchases made from You via the Oracle Cloud Marketplace in the event the local Oracle Entity appointed as your limited purpose invoicing cum collection agent does not collect and remit the taxes on Your behalf, and that the Customer shall provide the proof of such payment/discharge of the NIBT obligations on the purchase made from You via the Oracle Cloud Marketplace in case of any audit, questioning, or investigation by the tax authorities of Oracle. Oracle shall have the right to recover any taxes demanded from Oracle (by the tax authorities) on such transaction in the event You or Your Customer are not able to substantiate that the Customer has discharged all NIBT obligations on purchases made from You via the Oracle Cloud Marketplace.

Taxes:

By posting Your Paid Listings on the Oracle Cloud Marketplace, you agree that Oracle acts as an independent limited purpose invoicing cum collection Agent for You. This may also include validating the business status of Customers by obtaining tax registration numbers or exemption certificates. Oracle will invoice under its own name and tax registration number and will report the invoices/sales undertaken on Your behalf in its own tax return.

Oracle makes no warranties that Oracle’s actions will completely satisfy Your statutory obligations in any country that utilizes this tax model. Oracle strongly recommends You work with Your own tax advisors to ascertain whether Oracle-managed tax remittance sufficiently addresses Your compliance requirements.

You agree that Oracle is not your agent for any other purpose other than the limited purpose set forth above.

Appendix D:

Country-specific notes for scenarios where You are located in the United States and Your Customer is located in the respective country noted below

Japan

In the case of a business to Customer (“B2C”) transaction with a Customer, You may have an obligation: 1) to collect, remit, and report Japanese consumption tax (“JCT”) or similar indirect taxes, as applicable; and 2) to issue tax compliant invoices as per Japanese tax laws to a customer.

In the case of business to business ("B2B") transactions with a customer, you may be required to notify the customer of its obligation to self-assess JCT on the purchase of Your Marketplace content.

Oracle will make available to You a monthly report of sales made to Your Customers in Japan to assist You in determining Your JCT obligations in Japan and any associated invoicing obligations. You are advised to consult Your tax advisors to determine Your JCT obligations.
Brazil

In order to determine the application of Brazilian transaction taxes (such as ISS* or municipal service tax, CIDE*, PIS/COFINS* or other similar taxes, as applicable), You will provide Oracle with information regarding the taxability of Your Marketplace Content, including but not limited to whether Your Marketplace Content is treated as a cloud service or a software license for electronic download.

In case of business to business (“B2B”) transactions with a Customer, You may be required to notify the Customer of its obligation to self-assess CIDE*, PIS/COFINS* or other similar taxes on the purchase of Your Marketplace Content. Oracle will make available to You a monthly report of sales made to Your Customers in Brazil to assist You in determining Your tax obligations in Brazil and any associated invoicing obligations. You are advised to consult Your tax advisors to determine Your tax obligations.

Oracle will recover from You any applicable ISS* or municipal service taxes, withholding taxes, and IOF (tax on financial transactions) applied on Your Transaction Proceeds as defined in the Agreement that are remitted from Brazil.

*CIDE (Contribuição sobre Intervenção no Domínio Econômico)

COFINS (Contribution for the Financing of Social Security)

PIS (Program of Social Integration)

ISS (Imposto Sobre Serviços)
United Kingdom

In order to determine the application of United Kingdom transaction taxes (such as VAT or other similar taxes), You will provide Oracle with information regarding the taxability of Your Marketplace Content, including but not limited to whether Your Marketplace Content is treated as a cloud service or a software license for electronic download.

Oracle will charge, collect, and remit the applicable United Kingdom VAT, on behalf of You based on the classification of Your Marketplace Content provided by You.

Oracle will recover from You, any applicable withholding taxes applied on Your Transaction Proceeds as defined in the Agreement that are remitted from the United Kingdom.

Oracle can make available to You a monthly report of sales made to Your Customers in the United Kingdom to assist You in determining Your tax obligations in the United Kingdom and any associated invoicing obligations. You are advised to consult Your tax advisors to determine Your tax obligations.
Canada

In order to determine the application of the Canada transaction taxes (such as GST, HST, state or provincial sales taxes ,or other similar taxes), You will provide Oracle with information regarding the taxability of Your Marketplace Content, including but not limited to whether Your Marketplace Content is treated as a cloud service or a software license for electronic download.

Oracle will charge, collect, and remit the applicable Canada transaction taxes on Your behalf based on the classification of Your Marketplace Content provided by You.

Oracle will recover from You any withholding taxes applied on Your Transaction Proceeds that are remitted to You from Canada.

Oracle can make available to You a monthly report of sales made to Your Customers in Canada to assist You in determining Your tax obligations in Canada and any associated invoicing obligations. You are advised to consult Your tax advisors to determine Your tax obligations.
Colombia

In order to determine the application of the Colombia transaction taxes (such as VAT or other similar taxes), You will provide Oracle with information regarding the taxability of Your Marketplace Content, including but not limited to whether Your Marketplace Content is treated as a cloud service or a software license for electronic download.

Oracle will charge, collect, and remit the applicable Colombia transaction taxes on Your behalf based on the classification of Your Marketplace content provided by You.

Oracle will recover from You any withholding taxes or any other statutory levies applied on Your Transaction Proceeds that are remitted to You based on transactions with Customers in Colombia.