Home      Login

Abstract: 

While taxation might not be the first thing that springs to mind when credit cards are mentioned, for card issuers there are a number of important tax planning concerns. Though individual transaction amounts may be small, the income tax treatment of various credit card fees and charges, including interchange fees, can have a meaningful impact when the issuer’s entire line of business is totaled up.

Keywords: cancellation of debt; cardholder fees; fee income; interest timing rules; interchange fees; debt instruments;

Affiliations:  1: Stanley, Esrey & Buckley LLP .