The (EPC) has responded to a bill introduced by (D-Ward 6) 鈥 鈥 that would prohibit banks and large credit card companies from including sales tax and gratuities when collecting swipe fees.
Allen announced the legislation on Feb. 20 at the Dubliner in Northwest in the presence of restaurant owners and , the president and CEO of the Restaurant Association of Metropolitan Washington (RAMW).
A spokesperson from the EPC issued a statement challenging the bill.
鈥淩etail and restaurant sales in the District have increased by 90% and 56% respectively over the last decade driven, in large part, by credit and debit card purchases,鈥 the EPC spokesperson said in the statement. 聽鈥淲hile we share Councilmember Allen鈥檚 goal to support local businesses, this bill is a misdirection.鈥
The coalition explained the challenges District business owners face.
鈥淒.C. businesses have been increasingly saddled with new taxes and regulatory costs in recent years,鈥 according to the EPC statement. 鈥淢eanwhile, the average interchange rate has remained flat for over a decade.鈥
鈥淚t鈥檚 also bad policy,鈥 the spokesperson continued. 鈥淐redit cards are less expensive than the cost of cash, which is more than 4%, while protecting consumers from fraud and ensuring timely, efficient payments. In fact, some D.C. businesses just fought the Council鈥檚 effort to require them to take cash.鈥