Do you consider annual license fees to be a service or supply?

License fees for what? For what purpose are you trying to classify them?

License fees for what? For what purpose are you trying to classify them?

They would be software licenses.

We are classifying them for database/procurement history purposes.

"ADP Software" is classified under Federal Supply Class 7030. However, if you're classifying for your own internal purposes, classify however you want.

Read OMB Circular's A-11 and A-130. Software can be considered a capital asset.