Credit card user fees

Is it still illegal to charge a processing fee for credit cards? For the first time ever our country taxes are online and we can pay with a cc and I see this:
A $0.30 per transaction plus a 2.2% convenience fee will be added to your cart.
I want to tell them it is illegal if it is. I thought it was, but maybe it changed and we are unaware?

Hm saw this
Not surprisingly, many consumers are unhappy with convenience fees and believe merchants should eat the costs. "Paying by credit card is not a convenience for the customer," says Bob Johnson, a photographer and video producer in New York, NY. "It's a convenience for the company because the more ways that the company will accept payment the easier it is for them to make more profits."

It's no longer illegal to add processing fees. The latest cc regulations has made it possible, but I've really only seen the fees added when it's a large business or when the amounts being charged are large dollar amounts.
It's sure a fine line between surcharge & convenience fee! The article also states that Visa regulations say "The fee must be a flat or fixed price rather than a percentage of the sale." In my experience there are a lot of merchants breaking this regulation!

This is a government entity situation. As City Clerk (who used to help out entering meter readings) I know for a fact the water customers coming to the office wanted to use credit cards tor #1 - water/sewer deposits #2 - water bills (this includes water/sewer//City fees/Garbage). The City cannot possibly "eat" these fees. Currently they can go online and use credit cards (through a State system I think) but there is no machine in the office. That is being investigated now re bank fees. Our water system is struggling $$$ as it is an old system and is in NEED- rate increases having been protested for years, are now going up dramatically.
Real estate taxes, user fees (and here B & O taxes), etc are what funds the services of the city. Does not make it easier to get the surcharge/"convenience fee" but it a fact of the life of counties/municipalities.

No. When it comes to tax payments, it's allowed. It's an agreement that they made with the CC companies.
In the US you are allowed to surcharge, but you have to notify the CC companies of your intent 30 days in advance. Once you change over, you have to tell all clients. Visa rules are listed at http://usa.visa.com/merchants/merchant-support/merchant-surcharging.jsp
In Canada you are not allowed to surcharge, but you may offer any type of discount that you want, for example once Canadian company used to issue their own bonus coupons (Canadian Tire Money) but others may offer cash or even donuts if they want to. Recently the CC companies have lost a case with the government and they are lowering a CC fees across the board. See http://www.cbc.ca/news/business/visa-mastercard-agree-to-hold-interchange-fees-at-1-5-for-5-years-1.2822985

I understand now, thank you everyone. I sent them a check. or wait, taxes should be

Gas stations around here have all switched to pay more for credit card transactions. Generally 10 cents per gallon.