The proposed bill, if enacted, would amend current statutes by adding new provisions regarding interchange fees related to electronic payment transactions. Specifically, it would prohibit issuers, payment card networks, acquirer banks, or processors from charging interchange fees on the tax amount of an electronic payment transaction, provided that the merchant informs the acquirer bank of the tax amount during the transaction process. Additionally, it would require merchants to submit tax documentation to the acquirer bank within 180 days if they do not transmit the tax, and the acquirer bank would be obligated to credit the interchange fee back to the merchant within 30 days of receiving the documentation.

Furthermore, the bill introduces penalties for violations of these provisions, including a civil penalty of $1,000 for each transaction and a requirement to refund the interchange fee. It also clarifies the definitions of key terms such as "acquirer bank," "interchange fee," "merchant," and "tax," among others, to ensure clarity in the application of these new regulations. Overall, the bill aims to enhance transparency and fairness in the calculation of interchange fees associated with electronic payment transactions.

Statutes affected:
Introduced Version: 44-7017
House Engrossed Version: 44-7017