The GSA SmartPay Travel IBA charge card is exempt from taxes in the following states:

Travel Card

What is the GSA SmartPay Travel Card?
The GSA SmartPay Travel Card can be used for official government travel and travel-related costs, while allowing cardholders access to GSA City Pair Program reduced airfares.  Agency/organizations are able to reduce travel processing costs and earn refunds as annual spend has nearly tripled since the program’s inception in 1998.  Travel Card revenue funds GSA City Pair reduced cost airline ticket program.

Travel and Integrated Cards:

Some states also provide tax exemption on individually billed travel accounts. To determine whether the travel or integrated card is a CBA or an IBA, refer to the 6th digit of the account number on the card. Here is a table that can help:

Prefix (1st four digits) Sixth Digit Platform Issuing Bank  Billing Type
4486 & 4614 & 4716 0, 6, 7, 8, 9 Visa

Citibank
JP Morgan Chase
US Bank

 Centrally Billed
4486 & 4614 1, 2, 3, 4 Visa Citibank
JP Morgan Chase
US Bank
Individually Billed
5565 & 5568 0, 6, 7, 8, 9 MasterCard Citibank
JP Morgan Chase
US Bank
Centrally Billed
5565 & 5568 1, 2, 3, 4 MasterCard Citibank
JP Morgan Chase
US Bank
Individually Billed
 

 

Tax Exemption Status
Federal government travelers using IBA Travel Cards will be exempt from state taxes only in select States.  State tax exemption forms may be required for Florida, New York, Pennsylvania, Texas and Wisconsin.  Please note that travelers must present a valid federal identification card in Massachusetts as proof of federal government employment, as well as official business travel documentation during the time of stay at the hotel. In all exempted states the cardholder is not responsible for paying taxes on car rentals, except for in New York.

Best Practices

  • Visit the GSA SmartPay website to determine if the state you are traveling to exempts taxes for transactions with the GSA SmartPay Travel Card.  Don’t forget the website in case you need it during the travel
  • If the state exempts IBA taxes, determine if a tax exemption form is needed; if it is, fill it out and bring it on your travel
  • When traveling to a tax exempt state, contact the hotel before you travel to verify that taxes will not be charged to your GSA SmartPay Travel Card
  • If the hotel does not recognize tax exemption status, please refer hotel representatives to the GSA SmartPay website or the state’s taxation authority to verify tax exemption
  • Maintain copies of all receipts in order to verify taxes assessed; receipts should be maintained for  6 years and 3 months (or to length of agency’s policy)
  • In accordance with the Travel and Transportation Reform Act of 1998 (PL 105-264), please use the GSA SmartPay Travel Card when you are on official federal government travel as all states will not exempt taxes on personal cards and your agency will not have the ability to earn important refunds

The GSA SmartPay® program provides charge cards to agencies/departments throughout the U.S. government, as well as tribal governments, through master contracts that are negotiated with major national banks.

SmartPay® Charge Cards are for Official U.S. Government usage only.

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T: 703.605.2808 | Email Support: gsa_smartpay@gsa.gov
This is an official U.S. Government Web site managed by the GSA.