AR HB1775

Creates the Electronic Payment Transaction Protection Act to prohibit payment card networks from charging interchange fees on state and local taxes or fees that are listed separately on payment invoices.

Requires payment card networks to either deduct taxes and fees from interchange fee calculations at settlement or provide rebates proportionate to tax amounts collected.

Prohibits circumventing the law by increasing interchange fees on non-tax portions of electronic payment transactions to offset the excluded tax amounts.

Reduces the early payment discount for gross receipts taxes from $1,000 to $50 per month for individual taxpayers and applies the same limitation to city and county taxes collected by the director.

Authorizes the Chief Fiscal Officer to enforce the law with civil penalties of $1,000 to $5,000 per violation and allows injured parties to recover actual damages and seek injunctive relief.