Connecticut businesses are currently facing over $100 million in annual credit card swipe fees on sales tax. In response, Senate Bill 1460 has been introduced to provide relief by stopping payment card networks from charging interchange fees on the sales tax portion of transactions. This legislative effort is seen as a way to support small businesses by ensuring they don’t bear costs for amounts they don’t retain.
Advocates for the bill urge residents to encourage their legislators to support SB 1460, emphasizing that it’s designed to foster a fair business environment. “SB 1460 is not about attacking credit card use – it’s about creating a level playing field and ensuring local businesses can compete and thrive.”
Supporters highlight that swipe fees represent the second-highest cost for many small businesses, following labor expenses. With fees set to increase, the bill aims to protect small businesses on Main Street from further financial strain by promoting transparency and fairness in fee calculations.
With small business owners already confronting mounting costs in various sectors, proponents argue for fixing what they describe as a broken system to safeguard the state’s small business economy.
