diff --git a/packages/zosfiles/CHANGELOG.md b/packages/zosfiles/CHANGELOG.md
index c113aa555..e9715b05a 100644
--- a/packages/zosfiles/CHANGELOG.md
+++ b/packages/zosfiles/CHANGELOG.md
@@ -2,6 +2,10 @@
 
 All notable changes to the Zowe z/OS files SDK package will be documented in this file.
 
+## Recent Changes
+
+- BugFix: Corrected the `Upload.BufferToUssFile()` SDK function to properly tag uploaded files. [#2378](https://github.com/zowe/zowe-cli/pull/2378)
+
 ## `8.9.0`
 
 - Enhancement: Added a `List.membersMatchingPattern` method to download all members that match a specific pattern.[#2359](https://github.com/zowe/zowe-cli/pull/2359)
diff --git a/packages/zosfiles/__tests__/__system__/methods/upload/Upload.system.test.ts b/packages/zosfiles/__tests__/__system__/methods/upload/Upload.system.test.ts
index de22e9569..158729d6c 100644
--- a/packages/zosfiles/__tests__/__system__/methods/upload/Upload.system.test.ts
+++ b/packages/zosfiles/__tests__/__system__/methods/upload/Upload.system.test.ts
@@ -755,11 +755,14 @@ describe("Upload USS file", () => {
             let error;
             let uploadResponse;
             let getResponse;
+            let tagResponse;
+
             const data: Buffer = Buffer.from(testdata);
 
             try {
                 uploadResponse = await Upload.bufferToUssFile(REAL_SESSION, ussname, data, { binary: true });
                 getResponse = await Get.USSFile(REAL_SESSION, ussname, {binary: true});
+                tagResponse = await Utilities.isFileTagBinOrAscii(REAL_SESSION, ussname);
             } catch (err) {
                 error = err;
                 Imperative.console.info("Error: " + inspect(error));
@@ -767,7 +770,7 @@ describe("Upload USS file", () => {
 
             expect(error).toBeFalsy();
             expect(getResponse).toEqual(Buffer.from(data.toString()));
-
+            expect(tagResponse).toBe(true);
         });
         it("should upload a USS file from local file", async () => {
             let error;
diff --git a/packages/zosfiles/__tests__/__unit__/methods/upload/Upload.unit.test.ts b/packages/zosfiles/__tests__/__unit__/methods/upload/Upload.unit.test.ts
index 7e7e8bf36..28812678c 100644
--- a/packages/zosfiles/__tests__/__unit__/methods/upload/Upload.unit.test.ts
+++ b/packages/zosfiles/__tests__/__unit__/methods/upload/Upload.unit.test.ts
@@ -1661,6 +1661,9 @@ describe("z/OS Files - Upload", () => {
             expect(zosmfExpectSpy).toHaveBeenCalledWith(dummySession, { reqHeaders: headers, resource: endpoint, writeData: data });
         });
         it("should return with proper response when upload USS file in binary", async () => {
+            const chtagSpy = jest.spyOn(Utilities, "chtag");
+            chtagSpy.mockImplementation(async (): Promise<any> => null);
+
             const data: Buffer = Buffer.from("testing");
             const endpoint = path.posix.join(ZosFilesConstants.RESOURCE, ZosFilesConstants.RES_USS_FILES, dsName);
             const headers = [ZosmfHeaders.OCTET_STREAM, ZosmfHeaders.X_IBM_BINARY, ZosmfHeaders.ACCEPT_ENCODING];
@@ -1673,7 +1676,7 @@ describe("z/OS Files - Upload", () => {
 
             expect(error).toBeUndefined();
             expect(USSresponse).toBeDefined();
-
+            expect(chtagSpy).toHaveBeenCalled();
             expect(zosmfExpectSpy).toHaveBeenCalledTimes(1);
             expect(zosmfExpectSpy).toHaveBeenCalledWith(dummySession, { reqHeaders: headers, resource: endpoint, writeData: data });
         });
diff --git a/packages/zosfiles/src/methods/upload/Upload.ts b/packages/zosfiles/src/methods/upload/Upload.ts
index 528150b96..2f984eded 100644
--- a/packages/zosfiles/src/methods/upload/Upload.ts
+++ b/packages/zosfiles/src/methods/upload/Upload.ts
@@ -457,6 +457,7 @@ export class Upload {
         ImperativeExpect.toNotBeEqual(options.record, true, ZosFilesMessages.unsupportedDataType.message);
         options.binary = options.binary ? options.binary : false;
         ImperativeExpect.toNotBeNullOrUndefined(ussname, ZosFilesMessages.missingUSSFileName.message);
+        const origUssname = ussname;
         ussname = ZosFilesUtils.sanitizeUssPathForRestCall(ussname);
 
         const endpoint = ZosFilesConstants.RESOURCE + ZosFilesConstants.RES_USS_FILES + "/" + ussname;
@@ -487,6 +488,12 @@ export class Upload {
             apiResponse.etag = uploadRequest.response.headers.etag;
         }
 
+        if (options.encoding != null) {
+            await Utilities.chtag(session, origUssname, Tag.TEXT, options.encoding);
+        } else if (options.binary) {
+            await Utilities.chtag(session, origUssname, Tag.BINARY);
+        }
+
         return {
             success: true,
             commandResponse: ZosFilesMessages.dataSetUploadedSuccessfully.message,
@@ -890,7 +897,6 @@ export class Upload {
      */
     private static get log(): Logger {
         return Logger.getAppLogger();
-        // return Logger.getConsoleLogger();
     }
 
 
@@ -915,7 +921,6 @@ export class Upload {
         const response: IUploadDir[] = [];
         if (Upload.hasDirs(dirPath)) {
             const directories = fs.readdirSync(dirPath).filter((file) => IO.isDir(path.normalize(path.join(dirPath, file))));
-            // directories = directories.filter((file) => IO.isDir(path.normalize(path.join(dirPath, file))));
             for (let index = 0; index < directories.length; index++) {
                 const dirFullPath = path.normalize(path.join(dirPath, directories[index]));
                 response.push({