Print Page   |   Contact Us   |   Your Cart   |   Sign In   |   Learn More
NAPCP Search
Commercial Card News Brought to You by the NAPCP: Industry Regulation

The House voted to repeal 3% withholding tax associated with TIPRA

Friday, October 28, 2011   (2 Comments)

Yesterday, the House voted to repeal the 3% withholding tax initiative scheduled to go into effect in 2013; it now needs Senate approval, which might be difficult to obtain.

The withholding initiative originated from the Tax Increase Prevention and Reconciliation Act, commonly known as TIPRA, that would require government agencies (except certain small agencies) to withhold 3% in federal tax for each payment made to a merchant for most goods and services beginning in 2013. Section 3402(t) is the corresponding section of the Internal Revenue Code (IRC). When the IRS released final regulations for the code in May 2011, card payments were one of the exceptions. Therefore, TIPRA applies to non-card payments only.

Members, read more about TIPRA…


Lynn Larson says...
Posted Monday, November 14, 2011
Update: On November 10, 2011, the Senate voted in favor of a repeal, moving this closer to a reality.
Lynn Larson says...
Posted Wednesday, November 9, 2011
The Senate is expected to begin debating this soon (as early as this week).

Sign In
Sign In securely
Featured Items
Event Calendar

Capital One Virtual Demo: Raising the Bar on Digital Product Development

NAPCP Commercial Card Regional Forum - Philadelphia, PA

1099 Reporting and P-Cards: What It Is, When It Changed and How It Is Being Interpreted

MUFG Virtual Demo: ePayable Payments Without the Reconciliation–Keeping the Buyer in Control

Copyright © 1999 - 2017 NAPCP - Advancing Commercial Card & Payment Practices Worldwide
Certified Purchasing Card Professional Credential 
The next application due date is Feb. 28, 2018 to take the 
exam at the Annual Conference on April 9 in San Diego.

Complimentary resource for all website visitors.
Report free to NAPCP members. Executive Summary free to members and complimentary subscribers.