Georgia 2025-2026 Regular Session

Georgia House Bill HB431 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	25 LC 44 3037
2	2	House Bill 431
3	3	By: Representatives Jones of the 25
4	4	th
5	5	, Powell of the 33
6	6	rd
7	7	, Ridley of the 6
8	8	th
9	9	, Hatchett of the
10	10	155
11	11	th
12	12	, Corbett of the 174
13	13	th
14	14	, and others
15	15	A BILL TO BE ENTITLED
16	16	AN ACT
17	17	To amend Part 2 of Article 15 of Chapter 1 of Title 10 of the Official Code of Georgia
18	18	1
19	19	Annotated, the "Fair Business Practices Act of 1975," so as to provide for a limitation on2
20	20	interchange fees charged by payment card networks for credit or debit card transactions at3
21	21	retailers; to provide requirements for payment card networks in relation to such interchange4
22	22	fees; to provide for a civil penalty; to provide for definitions; to provide for a short title; to5
23	23	provide for related matters; to repeal conflicting laws; and for other purposes.6
24	24	BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7
25	25	SECTION 1.8
26	26	This Act shall be known and may be cited as the "Consumer Inflation Reduction and Tax9
27	27	Fairness Act."10
28	28	SECTION 2.11
29	29	Part 2 of Article 15 of Chapter 1 of Title 10 of the Official Code of Georgia Annotated, the12
30	30	"Fair Business Practices Act of 1975," is amended by adding a new Code section to read as13
31	31	follows:14
32	32	H. B. 431
33	33	- 1 - 25 LC 44 3037
34	34	"10-1-393.20.15
35	35	(a) As used in this Code section, the term:16
36	36	(1) 'Credit or debit card transaction' means a purchase of goods or services by a17
37	37	consumer at a retailer in this state, an online purchase shipped to an address in this state,18
38	38	or a purchase made at a location in this state made using a credit or debit card.19
39	39	(2) 'Goods and services consumer purchase price' means the retail price paid by a20
40	40	consumer for the actual goods or services provided by a retailer, excluding the taxes.21
41	41	(3) 'Interchange fee' means a fee established, charged, or received by a payment card22
42	42	network for the purpose of compensating the payment card issuer or payment card23
43	43	network for its involvement in a credit or debit card transaction.24
44	44	(4) 'Payment card issuer' means a person or entity that issues a credit or debit card or25
45	45	such issuer's agent.26
46	46	(5) 'Payment card network' means an entity that directly or through licensed members,27
47	47	third-party processors, or agents provides the proprietary services, infrastructure, and28
48	48	software that route information and data to conduct credit or debit card transaction29
49	49	authorization, clearance, and settlement. Such term includes the system a person uses in30
50	50	order to accept as a form of payment a brand of debit card, credit card, or other device31
51	51	that may be used to carry out credit or debit card transactions.32
52	52	(6) 'Retailer' means any person, business, or entity that operates a physical or digital33
53	53	location in this state or that sells, supplies, or offers goods or services for sale directly to34
54	54	consumers and accepts credit or debit card transactions in this state.35
55	55	(7) 'Taxes' means the amount of any state and local sales and use and excise taxes36
56	56	applicable to a sale of goods or services provided by a retailer in this state.37
57	57	(b) No payment card network shall apply an interchange fee to a retailer based on an38
58	58	amount greater than the goods and services consumer purchase price.39
59	59	(c) A payment card network shall either exclude the amount of any taxes from the40
60	60	calculation of interchange fees specific to each credit or debit card transaction or, on no41
61	61	H. B. 431
62	62	- 2 - 25 LC 44 3037
63	63	later than a quarterly basis, refund the amount of interchange fees proportionate to the42
64	64	amount attributable to the taxes. Nothing in this Code section obligates a payment card43
65	65	network to verify the accuracy or completeness of the applicable taxes at the time of sale44
66	66	before calculating the interchange fee specific to each credit or debit card transaction.45
67	67	(d) If a retailer is unable or chooses not to capture and transmit the applicable taxes at the46
68	68	time of sale, the payment card network is not obligated to exclude taxes from the47
69	69	calculation of interchange fees for such retailer's credit or debit card transactions at the time48
70	70	of sale, and, upon receipt of proof of taxes collected by such retailer, the payment card49
71	71	network shall provide the refund on a quarterly basis consistent with subsection (c) of this50
72	72	Code section.51
73	73	(e) A payment card network that willfully violates this Code section shall be subject to a52
74	74	civil penalty of any interchange fees paid by the retailer on the taxes for the goods or53
75	75	services provided by such retailer in a calendar year plus 10 percent.54
76	76	(f) It shall be unlawful to alter or manipulate an interchange fee:55
77	77	(1) By increasing the interchange fee rate that is imposed upon the portion of a credit or56
78	78	debit card transaction;57
79	79	(2) That is not attributable to taxes; and58
80	80	(3) That is imposed to circumvent the effect of this Code section."59
81	81	SECTION 3.60
82	82	All laws and parts of laws in conflict with this Act are repealed.61
83	83	H. B. 431
84	84	- 3 -