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Tax Help for AWS Marketplace Buyers

Overview

Amazon Web Services India Private Limited (“AWS India”), an India based entity, is the AWS marketplace operator where both the buyer(s) and seller(s) are located in India.

In all other cases, for purchases made by India buyers, Amazon Web Services Inc. (“AWS Inc.”), a US based entity, continues to be the AWS marketplace operator.
 

Amazon Web Services India Marketplace

Invoicing

AWS India facilitates issuance of invoices for transactions between Indian buyers and Indian Sellers on AWS Marketplace. AWS India uses the latest information provided by Buyers on their Tax Settings page for invoicing purposes. It is therefore Buyer’s responsibility to ensure that the details are accurate and kept up to date on the Tax Settings Page.

1) Type of invoices

The type of invoices that AWS India will issue depends on whether
Buyer has provided a Goods and Services Tax Identification Number (GST
IN) on Tax Settings Page or not.
 
a) If GST IN is provided and Seller is Non SEZ: The transaction will be treated as a B2B transaction, and the Buyer will receive:
  • Tax invoice: An e-invoice will be issued for each seller with applicable GST. 
  • Commercialinvoice/ statement: This will be a consolidated statement which will contain details of purchases made by a Buyer from various sellers. 

b) If GST IN is not provided: The transaction will be treated as a B2C transaction, and the Buyer will receive:

  • Tax invoice: A tax invoice (not an e-invoice) will be issued for each seller with applicable GST. 
  • Commercial invoice/ statement: This will be a consolidated statement which will  contain details of purchases made by a Buyer from various sellers. 

c) If GST IN is provided and Seller is in SEZ: The transaction will be treated as a B2B transaction, and the Buyer will receive:

  • Tax invoice: A tax invoice (not an e-invoice) will be issued for each seller with applicable GST.
  • Commercial invoice/ statement: This will be a consolidated statement which will contain details of purchases made by a Buyer from various sellers.

Note that if buyer is in SEZ, no GST will be charged, however buyer will be required to share copy of endorsed invoice (E-Invoice/ Tax Invoice) by their SEZ authorities within 30 days of date of invoice

2) Invoice delivery
 
Invoices can be downloaded by a buyer from AWS Billing Console. Additionally, a Buyer may also opt to receive them on registered email.

Withholding Tax

A buyer should not withhold taxes on payments made to AWS India for marketplace purchases.

Under the Indian tax laws (Section 194-O of the Income Tax Act, 1961), AWS India will be withholding taxes when it passes on the payments to the sellers/ resellers and thus, buyers are not required to withhold tax on this transaction.  

Support and Additional resources

  • AWS India ticket system: Raise a ticket in case of any discrepancies or queries (like missing e-invoice, incorrect invoice details, GST charged, etc.).
  • Frequently asked questions (FAQs): For more detailed tax information, refer FAQs.
     

Amazon Web Services Inc. Marketplace

Invoicing 

AWS Inc. will continue to issue invoices for transactions between Indian buyers and non-Indian Sellers on AWS Marketplace. AWS India uses the latest information provided by Buyers on their Tax Settings page for invoicing purposes.

It is therefore Buyer’s responsibility to ensure that the details are accurate and kept up to date on the Tax Settings Page.

1) Type of invoices

a) If GSTIN is provided: The transaction will be treated as a B2B transaction, and the Buyer will only receive commercial invoice/ statement, with details of purchases made from different sellers.

b) If GSTIN is not provided: The transaction will be treated as a B2C transaction, and the Buyer will receive:

  • Tax invoice: A tax invoice (not an e-invoice) will be issued for each seller. GST (as applicable) will be charged on the tax invoice. 
  • Commercial invoice/ statement: This will be a consolidated statement which will contain details of purchases made by a Buyer from various sellers.
2) Invoice delivery 
 
Invoices can be downloaded by a buyer from AWS Billing Console. Additionally, a Buyer may also opt to receive them on their registered email.
 
Witholding Tax

Buyers are required to make full invoiced amounts to AWS, Inc.. If a Buyer wishes to apply withholding tax on any payment to AWS Inc., Buyer must bear such withholding tax out of its own pocket.
 
Support System

If there are any discrepancies or queries related to invoicing (like incorrect invoice details, GST charged, etc.), please raise a ticket with AWS Inc. for resolution.