MS HB879

Creates the "Retailer Tax Fairness Act" establishing a tax credit for merchants and sellers who pay interchange fees on electronic payment transactions.

Defines key terms including credit cards, debit cards, electronic payment transactions, interchange fees, payment card networks, and settlement processes.

Entitles merchants or sellers to a tax credit equal to 2.5% of state and local taxes collected through electronic payment transactions where an interchange fee is charged or paid.

Specifies that "state taxes" includes sales taxes under Chapter 65, Title 27 and taxes under Sections 27-55-11, 27-55-519, 27-59-11, 49-17-407, and 65-33-47, and "local taxes" includes taxes on hotels, motels, restaurants, and other business activities.

Takes effect July 1, 2025.