Come June 1, your credit card must be accepted for payment in taxicabs licensed in Minneapolis, following City Council committee action.

Most taxis are now equipped to accept credit cards, but drivers have been known to reject such payments to avoid paying the card fees.

The Regulatory, Energy and Environment Committee of the Minneapolis City Council first discussed requiring the acceptance of credit cards in December but delayed action to see if there were a way to pass on the card fees to the customer or taxicab company, rather than the drivers. There is not.

On Thursday, committee members learned that the contracts between the credit card companies and the drivers do not allow surcharges to customers to pay the card fees.

Council Member Gary Schiff says he again has heard stories about people having trouble getting taxicab drivers to accept credit cards during the holidays. 

Instead, drivers often would tell would-be riders that the machine was broken and offer to drive them to a cash machine with the meter running before driving them home.

“It will no longer be acceptable for a driver to deny a credit card,” said Schiff.  “The problem is not adding the cost of a credit card machine. Most of the cabs have the machine.”

Minneapolis will be joining Chicago, New York and Boston as cities where the cab ride can go on the plastic. Taxicabs operating out of the Minneapolis-St. Paul International Airport also are required to accept credit cards. St. Paul does not require the acceptance of credit cards for taxicab service.

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  1. A lot of people who have not filed tax returns are expecting to pay money and not get a refund. A couple of years back, the Internal Revenue Service aligned with several major charge card corporations to give taxpayers the convenience of paying with plastic. But wait. Most tax professionals say that using charge cards to cover your taxes are just plain not smart. Bad idea to pay taxes with credit card. In any event, any amount of your tax debt not paid on April 17 will be subject to a monthly interest charge of three percent.

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