Centennial State News

The National Federation of Independent Business (NFIB) has expressed strong support for House Bill 1282, a bipartisan proposal aimed at eliminating credit card swipe fees on sales taxes and tips. These fees, also known as interchange fees, are charged by credit card networks and can range from 1.5% to 3.5% per transaction.

NFIB State Director Michael Smith emphasized the potential relief this bill could provide to small businesses, their employees, and consumers who currently bear the burden of these costs. Smith stated, “Inflation is pushing small business owners and their thin margins to the brink. Unfortunately, credit card processing fees – which can cost between 1.5% and 3.5% of each transaction – exacerbate the financial strain of Main Street, making it harder for employers to expand their operations, raise wages, and keep their costs competitive."

Smith further noted that credit card companies should not profit from merchants collecting Colorado's taxes or workers' hard-earned tips. He commended lawmakers for introducing HB 1282 as a means to protect small businesses and their employees from these costly charges.