The Fair Swipe Act of 2025 prohibits interchange fees on sales tax and gratuity portions of credit and debit card transactions.

The Fair Swipe Act of 2025 prohibits issuers, payment card networks, acquirer banks, and processors from charging interchange fees on the sales tax and gratuity portions of credit and debit card transactions. It outlines a process for merchants to submit tax and gratuity documentation to receive a credit for the interchange fees charged on these amounts. Violators face a civil penalty of $1,000 per transaction and must refund the merchant the interchange fee calculated on the tax or gratuity amount.

The Fair Swipe Act of 2025 prohibits interchange fees on sales tax and gratuity portions of credit and debit card transactions.

The Fair Swipe Act of 2025 prohibits issuers, payment card networks, acquirer banks, and processors from charging interchange fees on the sales tax and gratuity portions of credit and debit card transactions. It outlines a process for merchants to submit tax and gratuity documentation to receive a credit for the interchange fees charged on these amounts. Violators face a civil penalty of $1,000 per transaction and must refund the merchant the interchange fee calculated on the tax or gratuity amount.