This Week at the Capitol
Missouri Department of Revenue Proposing Tax on Credit Card Usage Fees
The proposed amendment (View PDF Here) from the Department of Revenue includes a change that would require retailers and businesses that provide taxable services to charge sales tax on any fee they charge customers for using a credit card:
Credit card fees that a seller charges a customer who chooses to use a credit card as a form of payment to offset the fees the seller has to pay to the credit card company are subject to tax. There are many names a seller may call this fee, including but not limited to, credit card fee, credit card surcharge, convenience fee, etc. This is not the extension of credit or a finance charge.
They offer this example later in the proposed amendment:
A retailer makes a sale for $50, which the customer pays for using a credit card. The retailer charges the customer a $3 credit card fee for using the credit card. Sales tax should be collected and remitted on $53, which is the $50 price of the merchandise plus the additional $3 charge for paying with a credit card.
To submit comments about the negative impact this proposed amendment will have, people can visit the link below. The deadline to submit comments is October 31, 2025.