MEMBERSHIP & ACCOUNT TYPES
What are the benefits of OIX Membership?
Only OIX Members can access our platform, tool suites, tax incentive program database, real-time market data and the OIX Marketplace. To learn more please explore How it Works
What does it cost to become a Member of the OIX?
Membership on the OIX is free!
Can anyone become a Member of the OIX?
Membership on the OIX is currently limited to valid corporate entities (C corps, S corps, LLCs, Partnerships, etc.). While non-corporate accounts are not offered at this time, we encourage individuals to participate in the market by going through their tax professional. If your CPA is not familiar with the OIX please contact us
and we are happy to get them acquainted.
What are my Membership options?
We have two options for Membership on the OIX: (1) active transactional firms that qualify for Direct Market Access
(DMA) can freely transact on the OIX Marketplace, and (2) companies who may buy or sell credits infrequently (or who don’t want to "do it yourself") can transact through our Customer Assist
Can anyone obtain "Direct Market Access" (DMA)?
Only qualified corporations can qualify for DMA, which is currently limited to F500, reputable public/private companies, national/regional accounting and advisory firms, volume sellers, or experienced tax credit brokers.
With a "DMA" account do I have access to the OIX "Tax Credit Lifecycle Management System"?
Yes! DMA Members get our state-of-the-art Tax Credit Lifecycle Management System which enables you to load, track and manage ANY type of tax credit generated anywhere in the world. Simply upload credits to your system (along with any documentation that you would like to index and store) and you can manage the credit’s lifecycle from inception to harvest. If the credit is transferable and you would like to sell it on the OIX you are just a click away from posting it on the Marketplace. Our system also provides analytic tools around your entire tax credit portfolio – whether you are managing credits privately, selling them on the OIX, or buying credits on the OIX.
If I am a CPA, advisory firm, or a tax credit broker what is my best approach?
For CPA firms, advisory firms, brokers, or any organization representing third parties your only option is become a Member with Direct Market Access
in order to utilize our Tax Credit Lifecycle & Customer Management System. The system enables you to manage activities on behalf of a third-party client, whereas our base Membership features do not provide that functionality. In addition, advisory firms and practitioners can boost their presence by becoming a Service Provider
on the platform in order to promote core services and source new customers.
What is the process to become a Member?
Simply fill out our brief application to open an account
) which gains immediate and full access to the OIX platform and services.
Can I cancel my Membership account at any time?
Yes. Members can cancel their Membership at any time
What exactly is a "Service Provider Portal" and what are the benefits?
Tax credit professionals of all kinds can create a proprietary and branded Service Provider Portal (with hyperlinks and connectivity to their corporate website) in order to promote core services to the OIX community. Members can use our search tools to find providers and practitioners that offer support with services ranging from advisory, audit, finance, legal, insurance, procurement, and more. The annual license fee for a Service Provider Portal is $25,000.
What exactly is a "Private Portal / Deal Room" and what are the benefits?
The OIX also offers "Private Portal / Deal Room" which is a customized white-label platform powered by OIX technology and offered to DMA Members who desire to obtain a branded platform to communicate with you customers and provide access to the tax credit markets. Through a Private Platform, accounting firms, tax credit brokers, advisors, banks, financiers, wealth manager, family offices, etc., can enable clients with a login to your platform in order to: (1) share inventory/opportunities with your customers (identified on the OIX), (2) accept buy/sell orders from your customer to place on the OIX, and (3) allow your customers to track and manage their activities placed with you. All of your customer information is encrypted and is entirely private to you. The annual license fee for a Private Portal/Deal Room is $50,000.
THE OIX MARKETPLACE
What is the "OIX Marketplace"?
The OIX is the only online marketplace for tradeable tax credits offering centralized inventory, transparency, price discovery, standardization, security, compliance, clearing services and a standard of best practices. On the OIX our Members can search, track and monitor the tax credit markets through real-time data and powerful analytic tools, and transact through our ease-of-use platform.
How can I transact on the OIX Marketplace?
Members of the OIX can place buy/sell orders with OIX Customer Assist
and we will execute for you on the OIX. Active organizations that qualify can obtain Direct Market Access
(DMA) and transact freely on the OIX, and only DMA Members can obtain our premiere Tax Credit Lifecycle Management System. DMA Members also have the freedom to execute through Customer Assist for even greater ease of use.
How can I identify credits on the OIX that meet my needs?
On the OIX we display the characteristics of a tax credit, which include information on: (1) the types of taxes that the credit can be used to offset, (2) usable tax years, (3) limitations on usage, and of course (4) diligence documents, and (5) the purchase and sale agreement provided by the seller (or buyer, as the case may be). Search and sort tools assist with identifying specific credits. It is up to the Member, however, to determine (along with their tax professional) that they can use the credit given their particular tax planning strategy, as the OIX does not provide legal or tax advice as to a Member’s ability to utilize a particular credit.
If I am buying or selling a credit how is the price or spread determined?
The buyer and seller determine (in their sole discretion) the price at which the parties are willing to transact. The bid/ask spread (between what a buyer is offering to pay and where a seller is offering to sell) are not determined by the OIX, but rather are established through traditional market dynamics and supply/demand price discovery.
How do I know if I am getting a fair price?
You, the Member, determine the price at which you are willing to buy or sell a credit and have full access to our data and analytic tools which display real-time market conditions and pricing. All OIX Members can also see current and historic market data and analytics through your "Dashboard". Only DMA Members, however, can see specific details of historic transaction by going to "Recent Sales". (Recent Sales do not reveal the identity of the parties involved in a transaction.)
What are the rules around buying and selling credits on the OIX?
Buyers can post a bid or buy credits listed by a seller on the OIX provided that the buyer has sufficient cash or borrowing facilities available to pay the purchase price upon completion of a transaction. Sellers can post a transferable credit for sale on the OIX provided that the seller has the authority to sell the credit, and that the credit is valid and must have either an "Approved Application" "Initial Certification".
What are the fees associated with using the OIX Marketplace?
There are no fees to buy credits on the OIX. The OIX charges a transaction fee to sellers: (1) Members who sell credits through Customer Assist
are subject to a transaction fee of 1% for credits > $1mm, and 2% for credits < $1mm; (2) Direct Market Access
Members who sell credits direct are subject to a transaction fee of 1%. We do offer a negotiated discount rate to the above fee structure to DMA Members who agree to exclusivity.
Am I bound by exclusivity or any other obligations to use the OIX?
None. We do not require exclusivity, and you can pull your bid or offer down at any time. If you can get a better price off the OIX then transact off the OIX; as least you’ll know that you’re getting the best price!
OIX PLATFORM DYNAMICS
How does the OIX compare to a typical tax credit broker?
The OIX is NOT a tax credit broker. Rather, we are a platform and marketplace for companies to buy and sell tax credits directly through a principal to principal dynamic.
What is the best and easiest way to buy or sell a tax credit on the OIX?
Transacting in tax credits on the OIX can happen in two ways: (1) sellers can list a credit for sale and buyers can bid on them (below the seller’s asking price), or buy them outright, or (2) buyers can post a bid and allow sellers to offer them product to review and consider.
Are my bids or offers "binding" on the OIX?
It depends. When you post a credit for sale your offers are always binding, pending, of course, buyer and seller agreeing to price and terms and conditions as outlined in a purchase and sale agreement. Buyers who place bids (or buy) credits listed for sale are bound by the terms, however, buyers who lead the process with an "open bid" – placing a bid and allowing sellers to offer buyers credits – have the opportunity to review and accept or decline credits that are offered to them.
Is my identity revealed when transacting on the OIX?
Yes and/or no. DMA Members – when posting a bid or when offering credits for sale – can check a box to designate whether they want to be "visible" or "anonymous". If they select "visible" then all Members can see their identity, and if they select "anonymous" then no Members can see their identity. General Members (non-DMA) who transact thorough Customer Assist are always anonymous. Members who wish to learn the identity of which company is behind a bid or an offer can contact Customer Assist, and we will provide information based on the buyer’s or seller’s instructions.
Does the OIX accept buy or sell orders?
Yes, the OIX Customer Assist
department will accept a buy or sell order from any of our Members and will execute those order on their behalf on the OIX Marketplace. Members can see the status and activity on their orders anytime by going to the Marketplace and/or through the Member’s Dashboard.
How does OIX "Customer Assist" Work?
was designed to assist those Members who do not wish to buy or sell credits by themselves on the OIX. Whether a Member desires to remain anonymous to the marketplace, does not buy or sell credits with great frequency to require Direct Market Access, or does not have the time or resources to execute a transaction, Customer Assist is available to handle a buy or sell transaction on a Member’s behalf from start to finish. Simply let us know what credits you wish to buy or sell, and we handle the rest.
What kind of credits can I buy, sell or finance on the OIX?
Currently the OIX hosts a market for our Members to buy, sell or finance US state transferable tax credits on the platform. Through Customer Assist
and our wholly owned subsidiary Tempus Capital Partners (an OIX Company) we can also help to facilitate offline transactions in allocated and partnership credits that are not "freely transferable". In the future the OIX will provide the infrastructure for transactions in "partnership" or "syndicated" credits, which will require SEC and FINRA regulatory and compliance.
Can I pre-buy, pre-sell or finance any type of credit?
Yes, many of our Members who generate credits that will be earned in the future often desire to lock in a future buyer, and conversely Members who have a sense of their future liabilities and like to plan ahead seek to lock in future credits. These types of transactions are feasible on the OIX, and credit vintage tax year and delivery dates are clearly displayed on the platform. Timing of the exchange of funds are at the sole discretion of the buyer and the seller and memorialized through a purchase and sale agreement (or equivalent document).
Will the OIX purchase my credits or sell me credits directly?
Yes, in certain situations the OIX has the capacity to purchase your credits directly when you need immediate liquidity or when there is not sufficient demand on the OIX for your particular type of credit. As such, the OIX may take possession of credits and as such be in the position to sell you credits out of our inventory directly. These types of transactions are managed through our wholly owned subsidiaries, Tempus Capital Partners (an OIX Company) and OIX Financial Services.
VETTING, CLEARING & TRANSFER PROCESSES
If I buy a credit how do I know that the credit is valid?
A satisfactory underwriting and diligence review is required before any credit is listed on the CMS. As such, all credits listed on the CMS are carefully vetted and underwritten by our team of experienced tax professionals. Credits offered for sale from Members or DMA Members are subject to the same OIX due diligence process, and the OIX guarantees that all credits on the CMS have been first reviewed by our team prior to listing.
What does the OIX due diligence process entail?
The OIX conducts an independent review of diligence items such as: pre-certification letters, cost certificates, tax credit certificates, applications sent to an administering agency, UCC lien search, and any other pertinent information relating to the credits being listed. Buyer are always encouraged to perform their own due diligence on credits considered for purchase.
How does the OIX clearing and transfer process work?
Following a transaction on the OIX (which is the result of a buyer and seller agreeing on price and terms) the OIX handles the clearing and transfer process from A-Z, which entails: (1) we ensure that signature pages for necessary documents (PSA, transfer forms, etc.) are executed by both parties, (2) OIX acts as escrow agent for buyer to wire the purchase price, (3) we file and submit to the state agency the documentation required by statue to transfer a credit, and (4) we release fully executed closing docs to both parties and funds to the seller upon the perfection of the transfer and confirmation from the state (where the buyer has effectively taking delivery/title of the transferred credits).
How does OIX technology assist me with workflow processes?
OIX systems provide our Members with automation to: (1) review credit due diligence information, (2) review purchase and sale agreement, (3) negotiation of purchase and sale agreement, (4) electronic (or physical) signing of transaction documents, (4) upload/download/store transaction closing documents, and (5) manage current and historical activities.
How does OIX ensure security and encryption around transaction documents?
The OIX facilitates the uploading, storing, managing and sharing of documentation via a secure, encrypted environment built on top of the industry standard document collaboration platform, Box. Documents are transferred via high-grade TLS and stored in multi-layered encryption with 256-bit AES. Download an Overview
If I buy a credit what documentation do I receive that reflects my purchase?
The documentation that a buyer receives varies from state to state with respect to evidence to include on your tax return, and the OIX will provide buyers either with a new tax credit certificate (when issued in the name of the buyer by a state agency) or some other form of transfer verification (transfer form, original credit, etc.). All transactions on the OIX are memorialized by a Purchase and Sale Agreement; fully executed drafts are available to both parties following conclusion of the clearing process, and accessible through your Dashboard anytime.
If I sell a credit how long does it take to get my money?
Typically, the clearing and transfer process takes anywhere from 5-7 business days, which is contingent on (1) how quickly the parties execute closing documents, and (2) if there are "transfer approvals" required by a state agency. In certain cases where a state agency either needs to approve a transfer, or when new credits are issued in the name of the buyer the closing process may take longer.
As an advisor do I need to take possession of credits or handle funds?
No, intermediaries when representing clients on the CMS never need to handle funds nor take possession of credits. The OIX handles the clearing, escrow and transfer process. This does not, however, prohibit intermediaries from doing so, and all arrangements between agents and their client at the discretion of our Members.
How do I claim purchased tax credits on my tax return?
Typically all you need to include on your tax return is either the tax credit certificate and/or the transfer notification. Members should consult with their tax professionals for guidance as the OIX does not provide tax advice.
NAVIGATING THE PLATFORM
How do I navigate the OIX platform?
Members navigate the OIX through your Dashboard, and/or through the static navigational buttons located throughout the site. To learn more see How it Works
or contact the Membership Department
for a demo of the OIX platform, or to schedule training and support.
How do I track the markets to find what I am looking for?
Within your Dashboard we offer several tools to track the markets, credits in specific jurisdictions, and to search and sort by a variety of criteria. Members also have the ability to set alerts and customize notification alerts to help you stay informed.
Can I customize OIX email notifications to be alerted of only specific activity that I care about?
Absolutely. By default the OIX system automatically sends email notifications on all transactional activity – new credits posted for sale, new bids, new trades, etc. – related to credits over $100,000, and you can easily customize exactly which notifications you would like to receive. Simply select by jurisdiction, credit type, activity type, minimum credit size, etc., and you can also designate the frequency that you would like to be notified (real-time, daily, weekly, monthly).
How do I keep track of my transactional activity?
Within your Dashboard you have a folder that contain details on all of your active and historical transactions. Furthermore, when you transact on the CMS all of your tax credit and closing documents are accessible through our document indexing feature so you can always have access to the paperwork.
Can I get specialized help from The OIX on how to use the platform?
Yes. The OIX is there to help you navigate the platform and offer personalized support and unlimited training. We can even manage actives for you where you will still be able to access all of your activity in your digital account.
ADMIN / LEGAL ISSUES
Is the OIX a regulated entity?
No. The OIX is currently focused on facilitating transactions in US state transferable tax credits – which are not securities as defined by the SEC Act of 1933, but rather are defined as "property" – and as such we are not a regulated entity. When the OIX expands into hosting a market for "partnership" and "allocated" credits (state and federal) that are syndicated as "securities" the OIX will become SEC and FINRA complaint, and require broker-dealer access to transact in those products on the OIX platform.
Do I need a license to buy or sell credits?
No. Since state tax credits are not securities you do not need a license to buy or sell state transferable tax credits.
Can I buy or sell credits on behalf of my clients?
Yes. If you are an accounting firm, tax advisory firm, wealth manager, family office, law firm, tax credit broker, or other type of intermediary you may buy or sell credits on behalf of your clients as long as you adhere to the Rules of the CMS (as all Members who transact on the CMS do).
If I buy a credit can I protect my credit against risk?
Yes. First, all credits listed on the OIX are typically backed by the seller in the form of indemnities and guarantees against recapture (credits in many jurisdictions are not subject to recapture once they’ve been issued). Additionally, Members can acquire tax incentive insurance (underwritten by major carriers) that can protect buyers or financiers of credits against certain kinds of risk. Please contact Customer Assist
for more information.
What legal documents are required for OIX Membership?
for access to the OIX, and abide by the Rules and Procedures of the OIX if they intend to transact on our platform.