MCC 5309 is associated with duty-free stores, which sell goods free of import duties and taxes, typically found at international airports, seaports, and border locations.
Interchange Fee
Transactions at duty-free stores under MCC 5309 typically carry interchange fees ranging from 1.5% to 3.0%, depending on the card issuer, card type (e.g., credit or rewards cards), and applicable agreements.
Cashback Rewards
Cashback for purchases at duty-free stores varies. Many cards offer standard rates of 1-2%, while travel-specific or premium cards may provide higher rates for purchases at international duty-free outlets.
Rules and Restrictions
There are no special rules or restrictions imposed by payment processors for transactions under MCC 5309, beyond standard compliance and authorization checks for retail purchases.
Tax Reporting
The IRS does not typically impose taxes on purchases made at duty-free stores, provided the goods are brought into compliance with customs allowances and restrictions upon entering the country.