23 LC 50 0477
S. B. 126
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Senate Bill 126
By: Senators Hickman of the 4th, Gooch of the 51st, Goodman of the 8th, Halpern of the
39th, Albers of the 56th and others
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to selling
1
and other trade practices, so as to provide for a limitation on interchange fees charged by2
payment card networks for credit or debit card transactions at retailers; to provide3
requirements for payment card networks in relation to such interchange fees; to provide for4
a civil penalty; to provide for definitions; to provide for a short title; to provide for an5
effective date; to provide for related matters; to repeal conflicting laws; and for other6
purposes.7
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8
SECTION 1.9
This Act shall be known and may be cited as the "Consumer Inflation Reduction and Tax10
Fairness Act."11
SECTION 2.12
Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to selling and other13
trade practices, is amended by adding a new Code section to read as follows:14 23 LC 50 0477
S. B. 126
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"10-1-393.18.15
(a) As used in this Code section, the term:16
(1) 'Goods and services consumer purchase price' means the retail price paid by a17
consumer for the actual goods or services provided by a retailer, excluding the taxes.18
(2) 'Interchange fee' means a fee established, charged, or received by a payment card19
network for the purpose of compensating the payment card issuer or payment card20
network for its involvement in a credit or debit card transaction.21
(3) 'Payment card issuer' means a person or entity that issues a credit or debit card or22
such issuer's agent.23
(4) 'Payment card network' means an entity that directly, or through licensed members,24
third party processors, or agents, provides the proprietary services, infrastructure, and25
software to conduct credit or debit card transaction authorization, clearance, or26
settlement.27
(5) 'Retailer' means any person, business, or entity that sells, supplies, or offers goods or28
services for sale directly to consumers and accepts a credit or debit card for payment in29
this state.30
(6) 'Taxes' means the amount of any state and local sales and use and excise taxes31
applicable to a sale of goods or services provided by a retailer in this state.32
(b) No payment card network shall apply an interchange fee to a retailer based on an33
amount greater than the goods and services consumer purchase price.34
(c) A payment card network shall either exclude the amount of any taxes from the35
calculation of interchange fees specific to each payment card transaction or refund an36
amount of interchange fee proportionate to the amount attributable to the taxes at the time37
of settlement with the retailer.38
(d) If a retailer is unable to capture and transmit the applicable taxes at the time of sale, the39
payment card network shall accept proof of taxes collected on sales subject to an40 23 LC 50 0477
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interchange fee upon the submission of sales data by the retailer and promptly credit the41
retailer's settlement account.42
(e) A payment card network that violates this Code section shall be subject to a civil43
penalty of a minimum of $1,000.00 per violation, payable to the retailer, and shall also44
refund any interchange fees paid by the retailer on the taxes for the goods or services45
provided by such retailer.46
(f) It shall be unlawful to alter or manipulate the computation and imposition of47
interchange fees by increasing the rate or amount of the fees applicable to or imposed upon48
the portion of a credit or debit card transaction not attributable to taxes or other fees49
charged to the retailer to circumvent the effect of this Code section."50
SECTION 3.51
This Act shall become effective on January 1, 2024.52
SECTION 4.53
All laws and parts of laws in conflict with this Act are repealed.54