Sales/Use/Indirect:
Illinois: US District Court Grants Partial Preliminary Injunction of New Law Prohibiting Certain Interchange Fees
Case No. 1:24-cv-07307, N.D. Ill. (12/20/24). In a lawsuit brought forth by various banks and credit unions challenging Illinois legislation enacted in 2024 and slated to take effect on July 1, 2025 that prevents such entities from collecting interchange fees (often called “swipe fees”) on certain tax and tip amounts of credit or debit card transactions [see previously issued Multistate Tax Alert for more details on this legislation], the US District Court for the Northern District of Illinois granted some of the challengers’ motion for preliminary injunction of the new law as applied to certain entities (namely, national banks and federal savings associations). In the underlying lawsuit, the challengers are claiming that federal law – that is, the National Bank Act and Home Owners’ Loan Act – preempted these new Illinois statutory prohibitions on collecting interchange fees. Accordingly, the underlying case will move forward with respect to national banks and federal savings associations. Please contact us with any questions.
30 Rockefeller Plaza New York, NY 10182-0015 United States
About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities (collectively, the “Deloitte organization”). DTTL (also referred to as “Deloitte Global”) and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more.
Deloitte provides industry-leading audit and assurance, tax and legal, consulting, financial advisory, and risk advisory services to nearly 90% of the Fortune Global 500® and thousands of private companies. Our professionals deliver measurable and lasting results that help reinforce public trust in capital markets, enable clients to transform and thrive, and lead the way toward a stronger economy, a more equitable society and a sustainable world. Building on its 175-plus year history, Deloitte spans more than 150 countries and territories. Learn how Deloitte’s approximately 415,000 peopleworldwide make an impact that matters at www.deloitte.com.
