TAX COMPLIANCE POLICY

Overview & Scope

This Tax Compliance Policy describes how Upmos Inc. (“Upmos”, “we”) collects, remits, and reports taxes on transactions completed through the Upmos marketplace, and what tax obligations apply to sellers, buyers, and third-party vendors. It applies to every order placed on upmos.com and its sister properties, including all loyalty-program (Go), All Access, and partner-fulfilled transactions.

This Policy does not constitute tax advice. Buyers and sellers should consult a qualified tax professional for guidance on their specific circumstances.

Definitions

• Marketplace Facilitator — an operator of an online marketplace that, by state law, is required to calculate, collect, and remit sales tax on behalf of third-party sellers using its platform.
• Sales Tax — state, county, municipal, and special-district transaction-based consumption taxes imposed on tangible personal property and certain services.
• VAT / GST — value-added tax (EU, UK) or goods-and-services tax (Canada, Australia, India, etc.) applied to cross-border digital and physical sales.
• Nexus — the legal connection between a seller and a taxing jurisdiction that triggers tax-collection obligations (physical, economic, or affiliate nexus).
• Resale Certificate — a state-issued document allowing a registered reseller to purchase inventory without paying sales tax at the point of purchase.

Marketplace Facilitator Laws (U.S.)

Following South Dakota v. Wayfair, Inc. (2018) and the wave of state marketplace facilitator laws that followed, Upmos is required to collect and remit sales tax on third-party seller transactions in all 45 states that impose a sales tax, plus the District of Columbia. We do this automatically at checkout based on the ship-to address.

Sellers should NOT separately collect sales tax on Upmos orders in these jurisdictions. Duplicate collection by sellers may result in buyer refund claims and seller policy enforcement.

How Upmos Collects Sales Tax

Sales tax is calculated at checkout using product tax codes (PTCs) assigned by sellers during listing creation, the ship-to address, and current jurisdiction rates pulled from our certified tax rate provider. The calculated tax appears on the order summary, the receipt email, and the seller order report.

Upmos remits collected tax directly to each state on a monthly or quarterly cadence as required by that state. Sellers do not need to take any action to facilitate this remittance.

Seller Tax Obligations

While Upmos handles marketplace-facilitator sales tax, sellers retain the following obligations:

• Income tax on all marketplace revenue (reported via 1099-K, see below).
• Sales tax in non-facilitator jurisdictions if you have nexus there (currently Missouri prior to 2023 transition, certain local-only municipalities, plus any future jurisdictions that opt out of facilitator coverage).
• Business privilege, franchise, gross-receipts, or excise taxes as applicable in your state of organization.
• VAT/GST registration in foreign markets where you elect to ship beyond Upmos partner-fulfilled coverage.

International Tax (VAT, GST, Customs)

For orders shipped outside the United States, applicable VAT (EU, UK), GST (Canada, Australia, New Zealand), and similar consumption taxes are calculated at checkout where Upmos is a registered collector, or assessed at delivery (Delivered Duty Unpaid — DDU) where collection is not handled at the cart.

Upmos is registered for VAT in the EU (under the Import One-Stop Shop — IOSS) for orders under EUR 150, and in the UK for orders under GBP 135. Buyers may receive a separate import-duty invoice from the carrier for higher-value shipments.

Tax Documentation Requirements

Before Upmos will release seller payouts, every seller must submit the following:

• U.S. sellers (individuals & businesses): IRS Form W-9 with a valid SSN, EIN, or ITIN.
• Non-U.S. sellers: IRS Form W-8BEN (individuals) or W-8BEN-E (entities), plus a completed tax-residency certification for treaty-benefit claims where applicable.
• Vendors enrolled in seller-tax-collection (rare): a copy of each state sales-tax registration certificate and resale exemption documentation.

Tax forms can be submitted from Seller Dashboard > Tax & Legal. Forms are revalidated annually and re-collected when material details change.

Form 1099-K Annual Reporting

Upmos issues IRS Form 1099-K to every U.S. seller meeting the federal reporting threshold for the applicable tax year (currently $5,000 in gross payments for 2024 returns, transitioning to $2,500 for 2025 and $600 for 2026 and later, per IRS guidance). State-level 1099-K thresholds are lower in MA, VA, IL, MD, NJ, DC, VT, and others; sellers in those states may receive a 1099-K at lower gross amounts.

Forms are delivered by January 31 of the following year via the Tax & Legal section of the Seller Dashboard and (where postal delivery is selected) by U.S. mail.

Tax-Exempt & Resale Purchases

Qualifying buyers (registered resellers, qualifying non-profits, government entities, and certain manufacturers) may apply for tax-exempt status by submitting a valid resale or exemption certificate through Account > Tax Exemption. Each certificate is state-specific; multi-state buyers must submit one per state.

Approved exemption status applies to future orders shipped to the certified address. Retroactive refunds of previously paid sales tax may be requested within 90 days of the original transaction.

Tax Refund Requests

Buyers who believe sales tax was incorrectly collected may submit a refund request to tax@upmos.com with the order number, the basis for the refund request (e.g., shipped to an exempt jurisdiction, valid exemption certificate held), and any supporting documentation.

Most tax refund requests are processed within 10 business days. Approved refunds are returned to the original payment method.

Audit & Compliance Cooperation

In the event of a state, federal, or international tax audit, Upmos will cooperate with auditors to provide aggregate marketplace-facilitator collection and remittance records. Where an audit pertains to a specific seller, we will notify that seller and may be required to share order-level data identifying their transactions in the audited period.

Sellers are responsible for maintaining their own books and records for the longer of seven (7) years or the applicable jurisdictional statute of limitations.

Changes to This Policy

Tax law is dynamic. Upmos updates this Policy when federal or state tax legislation changes materially — for example, when new states enact marketplace-facilitator laws, when IRS reporting thresholds change, or when new VAT/GST treaties take effect. The “Last Revised” date at the top of this page reflects the most recent material update. Subscribed sellers receive an email when the Policy is updated in a way that affects their obligations.

How Can You Contact Us About This Policy?

If you have any further questions or comments or wish to report any problematic Content or Contribution, you may contact us by:

General Contact

• Phone: 1(855)637-2433 (Mon–Fri, 9 AM–5 PM CST)
• General Support: support@upmos.com
• Report Issue: upmos.com/report
• Send Feedback: upmos.com/feedback

Department Directory

Mailing Address

Upmos Inc.
9896 Bissonnet St
Houston, TX 77036
United States