Credit card processing and merchant services in Portland, OR
Portland businesses don't charge sales tax, but most must still take cash, and the largest retailers pay a 1% Clean Energy Surcharge.
Oregon has no general sales tax, so a typical Portland shop or cafe doesn't add one at the register. What Portland does have is the Clean Energy Surcharge, and it's easy to misread. It's a 1% surcharge on retail sales in the city, but only for large retailers: businesses with $1 billion or more in retail sales everywhere and at least $500,000 in Portland. Groceries that qualify for SNAP and qualified medicines are exempt. If you own an independent coffee shop, salon or hardware store, you're nowhere near the threshold.
Oregon's cash law is the rule that does reach small businesses. Places of public accommodation can't refuse U.S. coins or bills, although they can decline $50 and $100 notes. A cafe can't go card-only, but an online store or a phone-order business is exempt.
The Census Bureau counted 635,109 Portland residents in its July 2025 estimate, and the city's hotels, restaurants and bars took in about $3.5 billion in 2022. For restaurants and bars, where the card rate hits every tab, that's a lot of volume to price carefully.
With no tax to calculate and a cash drawer you have to keep anyway, your card costs come down to two questions: what rate you pay, and whether a surcharge makes sense. We found no Oregon limit on surcharges beyond the card network rules, which cap them at your cost and rule out debit cards. Send us a recent statement for a free statement review and we'll show you the effective rate you're paying now; our restaurant and retail pages explain how we set up those businesses.
Rules that matter in Portland, OR
Clean Energy Surcharge for large retailers
Portland's Clean Energy Surcharge is a 1% surcharge on retail sales within the city, imposed only on large retailers: businesses with retail sales of $1 billion or more everywhere and $500,000 or more in Portland. It doesn't apply to groceries that qualify under SNAP or to qualified medicines and drugs.
Source: City of Portland Revenue Division, Clean Energy Surcharge
Cash acceptance under state law
Oregon's ORS 659A.410 applies in Portland: places of public accommodation can't refuse U.S. coins or currency, though they may refuse $50 and $100 bills and coins totaling $100 or more. Internet-based transactions and sales made entirely by phone or mail are exempt.
Source: Oregon Legislature, ORS Chapter 659A (section 659A.410)
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Common questions
Is there sales tax in Portland, Oregon?
No general sales tax. Oregon doesn't have one, so Portland shops and restaurants don't add sales tax at the register. The city's 1% Clean Energy Surcharge is something else: it applies only to retailers with at least $1 billion in total retail sales and $500,000 in Portland sales.
Does the Clean Energy Surcharge apply to my small business?
Almost certainly not. The City of Portland applies it only to large retailers, meaning businesses with retail sales of $1 billion or more everywhere and $500,000 or more in Portland. Businesses that report at least $1 billion in total gross income and $500,000 in Portland gross income must register and file a Clean Energy Surcharge return.
Can a Portland restaurant refuse cash?
Not under Oregon law, in most cases. ORS 659A.410 bars places of public accommodation from refusing U.S. coins or currency, although you can decline $50 and $100 bills and coin payments of $100 or more. Online orders and phone or mail orders are exempt, so a website that only takes orders online can be card-only.
Can Portland businesses add a credit card surcharge?
Yes, within card network rules, since we found no Oregon law that bans or caps surcharges. Keep it at or below your cost and under 3% for Visa and 4% for Mastercard, post notice at the entrance and register, list it on the receipt, and never surcharge debit or prepaid cards. Our surcharging program sets up the disclosures.
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Disclaimer: general information, not professional advice
This page is general educational information, not legal, tax, accounting or financial advice. Rules and rates vary by place and change, so confirm them with the official source and a qualified professional before you act. Full terms are in our Terms of Service.
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