RI
Rhode Island House Bill H5164

Rhode Island 2023 Regular Session

Rhode Island House Bill H5164

Introduced
1/19/23  

Caption

Receipt Of Taxes, Fees, And Other Payments By Credit Card

Impact

If enacted, HB 5164 would significantly streamline the way tax payments are recorded and reported. Currently, the lag between credit card transactions and tax collection reporting could lead to inefficiencies and difficulties in tracking state and municipal revenues. By imposing a stricter timeline for reporting, this legislation aims to provide governmental agencies with more timely access to important revenue data, helping to optimize financial planning and budget management.

Summary

House Bill 5164, introduced in January 2023, focuses on the mechanisms of tax collection through credit card payments. The bill mandates that any credit card processing company that collects taxes on behalf of the state—specifically sales, hotel, or meals taxes—must report the exact dollar amount of those taxes to the respective state department of revenue or local municipality within 48 hours of completing the transaction. The introduction of this bill appears to be part of an effort to enhance fiscal transparency and improve the efficiency of tax collection processes at both the state and local levels.

Contention

Discussions around HB 5164 may revolve around concerns regarding the operational impact on credit card companies and the potential costs associated with compliance. Critics may argue that imposing such reporting requirements could burden smaller processing companies or lead to increased fees for businesses that rely on credit transactions. Additionally, questions could arise regarding data privacy and the handling of sensitive financial information. Some stakeholders may advocate for a phased implementation or propose adjustments to the compliance timeframe to mitigate these concerns.

Companion Bills

No companion bills found.

Previously Filed As

RI HB638

Provides for the collection of fees associated with payments to state agencies by credit cards, debit cards, or other forms of electronic payments (EN INCREASE SD RV See Note)

RI HB2546

Reducing the state rate for sales and use taxes for sales of food and food ingredients and modifying the percent credited to the state highway fund from revenue collected.

RI HB323

Change Name Of Gross Receipts Tax

RI H5582

Creates the interchange fee restriction act restricting interchange fees on sales and use tax or excise tax when payment is made with a credit or debit card.

RI HB2277

Decreasing the state rate for sales and use taxes for prepared food and increasing the percent credited to the state highway fund from sales and use tax revenue collected.

RI S0768

Creates the interchange fee restriction act restricting interchange fees on sales and use tax or excise tax when payment is made with a credit or debit card.

RI HB2256

Decreasing the state rate for sales and use taxes for sales of food, food ingredients and prepared food and modifying the percent credited to the state highway fund from revenue collected.

RI AB1065

Credit card transaction fees: tax payments: Consumer Inflation Reduction and Tax Fairness Act.

RI SB125

Relating to credit and debit card fees; to provide that the calculation of any credit or debit card swipe fee may not include taxes and fees added on to the price of the goods or services purchased by the credit or debit card.

RI H1481

Taxes, Licenses, and Fees

Similar Bills

No similar bills found.