diff --git a/README.md b/README.md
index 7f9aba31..70781e0f 100644
--- a/README.md
+++ b/README.md
@@ -42,6 +42,8 @@ To further configure your plugin, use the following custom parameters in your `s
 | `enableDDLogs`                | Enable Datadog log collection using the Lambda Extension. Defaults to `true`. Note: This setting has no effect on logs sent by the Datadog Forwarder.                                                                                                                                                                                                                                                                        |
 | `monitors`                    | When defined, the Datadog plugin configures monitors for the deployed function. Requires setting `DATADOG_API_KEY` and `DATADOG_APP_KEY` in your environment. To learn how to define monitors, see [To Enable and Configure a Recommended Serverless Monitor](#to-enable-and-configure-a-recommended-serverless-monitor).                                                                                                    |
 | `captureLambdaPayload`        | [Captures incoming and outgoing AWS Lambda payloads][17] in the Datadog APM spans for Lambda invocations. Defaults to `false`.                                                                                                                                                                                                                                                                                               |
+| `captureCloudRequestPayload`        | When using an AWS SDK client within your lambda function, [captures request data exchanged between it and AWS services][20] in the Datadog APM spans. Values: `all`. To [protect sensitive data][21], use JSON Path syntax. Defaults to `""`.                                                                                                                                                                                                                                                                                               |
+| `captureCloudResponsePayload`        | When using an AWS SDK client within your lambda function, [captures response data exchanged between it and AWS services][20] in the Datadog APM spans. Values: `all`. To [protect sensitive data][21], use JSON Path syntax. Defaults to `""`.                                                                                                                                                                                                                                                                                               |
 | `enableSourceCodeIntegration` | Enable [Datadog Source Code Integration][18] for the function. Defaults to `true`.                                                                                                                                                                                                                                                                                                                                           |
 | `uploadGitMetadata`           | Enable Git metadata uploading for the function, as a part of source code integration. Set this to false if you have the Datadog Github Integration installed, as it renders Git metadata uploading unnecessary. Defaults to `true`.                                                                                                                                                                                          |
 | `subscribeToAccessLogs`       | Enable automatic subscription of the Datadog Forwarder to API Gateway access log groups. Requires setting `forwarderArn`. Defaults to `true`.                                                                                                                                                                                                                                                                                |
@@ -66,6 +68,7 @@ To further configure your plugin, use the following custom parameters in your `s
 | `enableStepFunctionsTracing`    | Enable automatic subscription of the Datadog Forwarder to Step Function log groups and Step Functions tracing. If no Step Function log groups are configured, then they are automatically created. Requires setting `forwarderArn`. Defaults to `false`.                                                                                                                                                                  |
 | `propagateUpstreamTrace` | When set to `true`, downstream Stepfunction invocation traces merge with upstream Stepfunction invocations. Defaults to `false`. |
 | `redirectHandlers`    | Optionally disable handler redirection if set to `false`. This should only be set to `false` when APM is fully disabled. Defaults to `true`.                                                                                                                                                                  |
+
 To use any of these parameters, add a `custom` > `datadog` section to your `serverless.yml` similar to this example:
 
 ```yaml
@@ -263,3 +266,5 @@ This product includes software developed at Datadog (<https://www.datadoghq.com/
 [17]: https://www.datadoghq.com/blog/troubleshoot-lambda-function-request-response-payloads/
 [18]: https://docs.datadoghq.com/integrations/guide/source-code-integration
 [19]: https://docs.datadoghq.com/security/application_security/
+[20]: https://docs.datadoghq.com/tracing/guide/aws_payload_tagging/
+[21]: https://docs.datadoghq.com/tracing/guide/aws_payload_tagging/#protect-sensitive-information
\ No newline at end of file
diff --git a/integration_tests/correct_extension_apigateway_snapshot.json b/integration_tests/correct_extension_apigateway_snapshot.json
index e6d81d7b..f3756a56 100644
--- a/integration_tests/correct_extension_apigateway_snapshot.json
+++ b/integration_tests/correct_extension_apigateway_snapshot.json
@@ -262,6 +262,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
@@ -312,6 +314,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
@@ -362,6 +366,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
@@ -412,6 +418,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
@@ -462,6 +470,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
@@ -512,6 +522,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
@@ -562,6 +574,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -612,6 +626,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -662,6 +678,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -712,6 +730,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -762,6 +782,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
           }
@@ -810,6 +832,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
           }
diff --git a/integration_tests/correct_extension_snapshot.json b/integration_tests/correct_extension_snapshot.json
index cdffa95a..57bf736a 100644
--- a/integration_tests/correct_extension_snapshot.json
+++ b/integration_tests/correct_extension_snapshot.json
@@ -297,6 +297,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
@@ -349,6 +351,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
@@ -401,6 +405,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
@@ -453,6 +459,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
@@ -505,6 +513,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
@@ -557,6 +567,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
@@ -642,6 +654,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -697,6 +711,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -749,6 +765,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -804,6 +822,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -856,6 +876,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -908,6 +930,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
@@ -960,6 +984,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
           }
@@ -1010,6 +1036,8 @@
             "DD_LOGS_INJECTION": false,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_SERVICE": "dd-sls-plugin-integration-test",
             "DD_ENV": "dev"
           }
diff --git a/integration_tests/correct_forwarder_snapshot.json b/integration_tests/correct_forwarder_snapshot.json
index 5de68a01..3761bc65 100644
--- a/integration_tests/correct_forwarder_snapshot.json
+++ b/integration_tests/correct_forwarder_snapshot.json
@@ -506,6 +506,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
           }
         },
@@ -561,6 +563,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
           }
         },
@@ -616,6 +620,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_LAMBDA_HANDLER": "py_handler.hello"
           }
         },
@@ -671,6 +677,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
           }
         },
@@ -726,6 +734,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
           }
         },
@@ -781,6 +791,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "DD_LAMBDA_HANDLER": "js_handler.hello"
           }
         },
@@ -886,6 +898,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper"
           }
         },
@@ -938,6 +952,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper"
           }
         },
@@ -990,6 +1006,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper"
           }
         },
@@ -1042,6 +1060,8 @@
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
             "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": "",
             "AWS_LAMBDA_EXEC_WRAPPER": "/opt/datadog_wrapper"
           }
         },
@@ -1093,7 +1113,9 @@
             "DD_MERGE_XRAY_TRACES": false,
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
-            "DD_CAPTURE_LAMBDA_PAYLOAD": false
+            "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": ""
           }
         },
         "Role": {
@@ -1144,7 +1166,9 @@
             "DD_MERGE_XRAY_TRACES": false,
             "DD_LOGS_INJECTION": true,
             "DD_SERVERLESS_LOGS_ENABLED": true,
-            "DD_CAPTURE_LAMBDA_PAYLOAD": false
+            "DD_CAPTURE_LAMBDA_PAYLOAD": false,
+            "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING": "",
+            "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING": ""
           }
         },
         "Role": {
diff --git a/src/env.ts b/src/env.ts
index 560225f6..ba17cc4e 100644
--- a/src/env.ts
+++ b/src/env.ts
@@ -28,6 +28,10 @@ export interface Configuration {
   apiKMSKey?: string;
   // Whether to capture and store the payload and response of a lambda invocation
   captureLambdaPayload?: boolean;
+  // Whether to capture and store the AWS Payload requests services
+  captureCloudRequestPayload?: string;
+  // Whether to capture and store the AWS Payload response services
+  captureCloudResponsePayload?: string;
   // Which Datadog site to send to (for example, datadoghq.com or datadoghq.eu)
   site: string;
   // The subdomain to use for app url links that are printed to output. Defaults to app
@@ -136,6 +140,8 @@ const ddMergeXrayTracesEnvVar = "DD_MERGE_XRAY_TRACES";
 const logInjectionEnvVar = "DD_LOGS_INJECTION";
 const ddLogsEnabledEnvVar = "DD_SERVERLESS_LOGS_ENABLED";
 const ddCaptureLambdaPayloadEnvVar = "DD_CAPTURE_LAMBDA_PAYLOAD";
+const ddCaptureCloudRequestPayload = "DD_TRACE_CLOUD_REQUEST_PAYLOAD_TAGGING";
+const ddCaptureCloudResponsePayload = "DD_TRACE_CLOUD_RESPONSE_PAYLOAD_TAGGING";
 const ddColdStartTracingEnabledEnvVar = "DD_COLD_START_TRACING";
 const ddMinColdStartDurationEnvVar = "DD_MIN_COLD_START_DURATION";
 const ddColdStartTracingSkipLibsEnvVar = "DD_COLD_START_TRACE_SKIP_LIB";
@@ -176,6 +182,8 @@ export const defaultConfiguration: Configuration = {
   subscribeToStepFunctionLogs: false,
   enableDDLogs: true,
   captureLambdaPayload: false,
+  captureCloudRequestPayload: "",
+  captureCloudResponsePayload: "",
   failOnError: false,
   skipCloudformationOutputs: false,
   mergeStepFunctionAndLambdaTraces: false,
@@ -252,6 +260,12 @@ export function setEnvConfiguration(config: Configuration, handlers: FunctionInf
     if (environment[ddCaptureLambdaPayloadEnvVar] === undefined) {
       environment[ddCaptureLambdaPayloadEnvVar] = config.captureLambdaPayload;
     }
+    if (environment[ddCaptureCloudRequestPayload] === undefined) {
+      environment[ddCaptureCloudRequestPayload] = config.captureCloudRequestPayload;
+    }
+    if (environment[ddCaptureCloudResponsePayload] === undefined) {
+      environment[ddCaptureCloudResponsePayload] = config.captureCloudResponsePayload;
+    }
     if (config.enableColdStartTracing !== undefined && environment[ddColdStartTracingEnabledEnvVar] === undefined) {
       environment[ddColdStartTracingEnabledEnvVar] = config.enableColdStartTracing;
     }