Visa recently introduced their Commercial Enhanced Data Program (CEDP), which changed how commercial transactions qualify for interchange rates. We want to provide more clarity about this change by answering the following questions:
- What information do I need to send to qualify for Level II interchange rates?
- How do I indicate that a transaction is tax exempt?
- Do I need to provide a product code for a transaction if I provide a service?
Note: For more information about CEDP, go to Understanding the Visa Commercial Enhanced Data Program (CEDP).
What information do I need to send to qualify for Level II interchange rates?
In addition to the basic information about a transaction, Visa requires an invoice number, customer reference number, and a tax amount.
Invoice number
We automatically assign an invoice number to every transaction. You don't need to manually send an invoice number with your transaction.
Customer reference number
If your customer provides a customer code or a purchase order (PO) number, you must send it with the transaction.
When you enter enhanced data for a sale on the Self-Care Portal, you can provide a customer reference number in the Customer Information section.
Tax amount
To let Visa know you have added tax to a transaction, send the tax amount with the transaction.
When you enter enhanced data for a sale on the Self-Care Portal, you can provide a tax rate for each line item in the Items section or provide an additional tax amount in the Sales Tax section.
How do I indicate that a transaction is exempt from tax?
To indicate that a transaction is exempt from tax, complete one of the following:
- Enter a value of 0 for the tax rate.
- Don't enter a value for the tax rate.
Do I need to provide a product code for a transaction if I provide a service?
Yes. To qualify for enhanced interchange rates, create and send a product code with the transaction in the following format:
Service Category - Work Descriptor - Unique Identifier
Example codes
In the following table, we have created some examples of codes you could use:
| Service Category | Work Descriptor | Unique Identifier |
|
|
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Using the example codes, you can create the following product codes:
- Software consulting: SV-ITCON-001
- Monthly SaaS subscription: SAAS-MNTH-001
- Legal services: SV-LEGAL-002
- Onsite support visit after hours: SUP-ONSITE-003
Further questions
If you have any further questions, email [email protected] or call 1 (888) 477-4510.