PAYMENT OF TAXES BY CREDIT CARD S.B. 28:
COMMITTEE SUMMARY
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Senate Bill 28 (as introduced 1-19-11)
Sponsor: Senator Goeff Hansen
Committee: Finance
Date Completed: 4-13-11
CONTENT
The bill would amend the revenue Act to allow taxes to be paid by credit card, and require the Department of Treasury to determine which major credit cards could be accepted for payment.
Currently, all taxes administered by the Act must be paid by bank draft, check, cashier's check, certified check, money order, cash, or electronic funds transfer. The bill also would refer to credit card.
MCL 205.19 Legislative Analyst: Suzanne Lowe
FISCAL IMPACT
According to staff from the Department of Treasury, the Department would implement the bill by contracting with a vendor who would process credit card payments on behalf of the State. The Department would incur some additional costs to engage in the request-for-proposal process to select the vendor. These costs could be absorbed within existing appropriations. All transaction or convenience fees related to the use of credit cards to pay State taxes would be borne by the payor. The vendor would remit the full amount of taxes paid to the State.
Fiscal Analyst: Elizabeth Pratt
Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. sb28/1112