Level 2 and Level 3 Data

Transaction data associated with credit cards for processing are generally classified into LI, LII, and LIII (or sometimes, L1, L2, and L3). The more the granular the data, the higher the level.

LI, LII, LIII data is always in the context of Business to Business (B2B) and Business to Government (B2G) payments, and not regular Consumer payments.

Level 3 data is primarily used in B2B or B2G transactions to help businesses monitor their transaction activity by collecting a set of additional details. This data, when sent to card networks such as Visa and MasterCard enables businesses to secure a much lower interchange rate.

If you are a business with higher volumes of B2B or B2G payment volume, TabaPay can help you bring down the costs of payment processing with L2 and L3 data shared with the networks.

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Card Eligibility for Level 2 and Level 3 Interchange Savings

Consumer cards that are issued to individuals are not eligible for Level 2 and Level 3 interchange savings, but most business cards are eligible.

Corporate and purchasing cards are almost always eligible.

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Please contact your TabaPay representative to get started on support for L2/L3.

Integration Requirements

Step 1: Create Transaction API

Before invoking Create Transaction API, please ensure that you have gathered the required L2/L3 elements, as well as ensure that the Validation Rules for L2/L3 are applied (Refer: Validation Rules for L2/L3) before sending the values over to TabaPay.

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Tax Exemption and Tax Rates

Transactions where tax exemption is True is associated with a Tax Rate of 0.00. For all other cases where tax exemption does not apply and is False, tax rate must be provided and must be between 0.1 - 30% of purchase amount.

For details regarding calculations, especially to arrive at amounts, please refer to section: [L3 Amount Calculation Rules.]

Step 2: **Transaction Processing**

TabaPay processes the transaction with the Payment Networks.

  • While payment networks ultimately decide on the interchange assessments, it is vital that integrating clients validate data elements for required validation rules and formats before placing a transaction with TabaPay.
  • Payment networks may either apply the interchange benefits for L2/L3 based on data received OR downgrade the Interchange if data provided is insufficient.
  • If required fields in L2/L3 are not sent, the transaction will not result in an error. However, it may result in an interchange downgrade.
  • TabaPay API response will not include the details of the interchange, but we plan to provide the downgrade indicator in our reports.

Validation Rules for L2/L3

Data Element

Validation Rules/Format

Expected Format

Value

Required

Choice

level2TaxExempt

Value to indicate local tax inclusion.

Valid values:

·       True

·       False

 

boolean

O

Level 2

level2TaxAmount

Tax amount applied to the product. Must be in the same currency as the unit price.

###.##

String

O

Level 2

Amount

level3.amountTax

Tax amount applied to the product. Must be in the same currency as the unit price.

 

·       Tax amount must equal the product of Unit Cost Amount and Tax Rate.

·       Value be 0.00 if tax exemption is True.

##.##

String

Amount

R

Level 3

level3.tax

Value to indicate local tax inclusion.

 

Valid values are:

0 = Sales Tax Not Included

1 = Sales Tax Included

2 = Tax Exempt

 

Code

1 digit

 

R

Level 3

level3.taxRate

Tax Rate

##.##

Number;

Max 2 decimal places;

N5 with Decimal. For instance, for 2%, Tax Rate field must be populated as 2.00 and not 0.02

R

Level 3

level3.amountDiscount

Discount Amount

####.####

String

Amount;

N13 with decimal

R

Level 3

level3.amountShipping

Shipping Amount

####.####

String

Amount;

N13 with decimal

R

Level 3

level3.amountDuty

Duty Amount

####.####

String

Amount;

N13 with decimal

R

Level 3

level3.itemCommodityCode

International commodity code. Refer to this for the code for the product

 

String; AN12

R

Level 3

level3.itemDescription

Value that provides a description of the item

 

String;

AN26

R

Level 3

level3.productCode

Value to specify the product category. Examples:
electronic
physical
service
subscription
shipping

handling

 

String;

AN12

R

Level 3

level3.quantity

Quantity

##.##

Number

R

Level 3

level3.unitOfMeasure

Refer to Units of Measure in International Trade here. Sample values can be:
ITM = Item
LBS = Pounds
HRS = Hours
KWH = Kilowatt Hours
Etc.

 

String; AN3

R

Level 3

level3.amountUnitCost

Unit Cost

####.##

String

Amount;

N13 with Decimal

R

Level 3

level3.amountItemDiscount

Discount per Line Item

####.####

String

Amount

R

Level 3

level3.amountTotal

Total

 

String

Amount

R

Level 3

level3.poNumber

Value used to identify
the order, typically a
purchase order number. Do not populate
the field with all zeros or all nines.

 

String; AN17

R

Level 3

L3 Amount Calculation Rules

In order to not experience an interchange downgrade, the various amount fields in L3 Data must be provided to TabaPay (in Create Transaction API) such that they follow the calculations provided in the table.

Amounts to be calculated are:
• Total Amount
• Discount Amount
• Tax Amount
• Shipping and Duty Amount are static values, and do not involve calculations

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