RI S2344

Prohibits credit card issuers, payment card networks, acquirer banks, and processors from charging merchants interchange fees on the tax or gratuity portions of electronic payment transactions when merchants transmit that data during authorization or settlement

Merchants who fail to transmit tax/gratuity data at time of transaction may submit documentation within 180 days to receive a refund of interchange fees charged on those amounts within 30 days

Makes it unlawful for payment processors to circumvent the law by increasing interchange fee rates on the non-tax/non-gratuity portions of transactions

Establishes a civil penalty of $1,000 per transaction for violations, plus required refunds of improperly charged interchange fees to merchants

Takes effect January 1, 2027