New Debit Card standards means less paperwork for you!

New Debit Card Standards for 2008

 

 

Effective January 1, 2008 the IRS has implemented an inventory information approval system (IIAS) for debit cards used for FSAs and HRAs.  As of that date FSA and HRA debit cards used in grocery stores, discount stores, and online pharmacies will no longer work unless the merchant complies with the IIAS standard.

What this means is that when you use your card at an IIAS compliant merchant, only items that are eligible for FSA will be paid for by the card.  Any other items will need to be paid for with another form of payment.  It also means that purchases made at IIAS compliant merchants will no longer need any further substantiation.

For those purchases you will no longer receive receipt requests since only eligible items were paid for by the card.

If you have been using your debit card at merchants that will not be IIAS compliant effective January 1, 2008, the card will no longer work at those merchants starting on that date.  For your reference, there is a list on the back of this notice of merchants that have already achieved compliance or have a target date set for compliance.

The IIAS standards are a very positive development since there will be a large decrease in the amount of times you will need to submit receipts after the use of your card.  However, remember that you need to retain all receipts for FSA eligible expenses.

 

IIAS Participating Merchants for 2008

Last updated on November 29, 2007

 

Retailers Planning IIAS Compliance on or Before January 1, 2008

ACME – SuperValu

12/1/2007

Longs Drug Stores

1/1/2008

Albertson’s – SuperValu

12/1/2007

Lucky – SuperValu

12/1/2007

A&P Supermarkets

1/1/2008

Macey’s

10/1/2007

Bigg’s – SuperValu

12/1/2007

Meijer

11/19/2007

Big Y Foods

1/1/2008

OSCO – SuperValu

12/1/2007

Brookshires

1/1/2008

Pak’n Save Foods

1/1/2008

Buehler Food Markets

12/15/2007

Pathmark Stores

12/15/2007

Carrs

1/1/2008

Pavilions

1/1/2008

Cubs – SuperValu

12/1/2007

Price Chopper Supermarkets

1/1/2008

CVS Pharmacy

1/1/2008

Randalls

1/1/2008

Dan’s

10/1/2007

Rosauers/Super 1 Pharmacies

1/1/2008

Dick’s

10/1/2007

Roundy’s

1/1/2008

Dierbergs

1/1/2008

Safeway

1/1/2008

Discount Drug Mart

12/1/2007

Sam’s Club

1/1/2008

Dominick’s

1/1/2008

Sav-A-Center

1/1/2008

Farm Fresh – SuperValu

12/1/2007

Shaws – SuperValu

12/1/2007

Food Basics

1/1/2008

Shop & Save – SuperValu

12/1/2007

Genuardi’s

1/1/2008

ShopKo Stores/ShopKo Express

11/15/2007

Giant Eagle

12/1/2007

Shoppers – SuperValu

12/1/2007

Giant Food

12/31/2007

Star Market – SuperValu

12/1/2007

Hannaford Food and Drug

1/1/2008

Stop & Shop Supermarket Company

12/31/2007

Harris Teeter, Inc.

1/1/2008

Super 1 Foods

1/1/2008

H-E-B

1/1/2008

SuperFresh

1/1/2008

Hen House Markets

1/1/2008

Sunflower – SuperValu

12/1/2007

Hornbachers – SuperValu

12/1/2007

Sweetbay Supermarkets

1/1/2008

Hy-Vee Drug Stores

1/1/2008

Target Stores

10/1/2007

Hy-Vee Food Stores

1/1/2008

Tom Thumb

1/1/2008

Jewel - SuperValu

12/1/2007

Vons

1/1/2008

Kerr Drug

1/1/2008

Walbaum’s

1/1/2008

Kroger

10/1/2007

Wal-Mart Stores

1/1/2008

Lin’s

10/1/2007

 

 

Retailers Planning IIAS Compliance During 2008

Duane Reade*

3/31/2008

United Supermarkets*

4/1/2008

Fagen Pharmacy*

Q1 2008

Walgreen Co.**

2/1/2008

Giant Food Stores*

1/30/2008

Wegmans*

2/1/2008

Tops Market*

1/30/2008

Winn- Dixie Stores*

5/15/2008

Retailers Planning IIAS Compliance by January 1, 2009

Drugstore.com**

1/1/2009

Wilkinson Pharmacy*

1/1/2009

Medicine Chest Pharmacy*

1/1/2009

 

 

 

* Will use Drug Store/Pharmacy Merchant Category Code at the pharmacy window, or throughout store if the retailer is a drug store until IIAS support is implemented.

 

** Already adjudicating claims at point of sale for card transactions on a non-IIAS standard.