ATO Ditches Credit Cards for Tax Payments on Nov 30 2026
The Australian Taxation Office (ATO) is making a significant change to its payment methods. As of November 30, 2026, taxpayers will no longer be able to pay their taxes using credit cards.
This decision comes after the Reserve Bank of Australia's review of card payments and surcharging costs. The ATO stated that it would not be 'appropriate for the cost of credit card merchant fees to be transferred to the community.'
About 2.3% of tax payments were made with credit cards during the 2024-2025 financial year, according to the ATO. However, most taxpayers are unlikely to notice this change.
The Australian Chamber of Commerce and Industry (ACCI) has expressed concerns about small businesses, which account for around 40% of credit card payments to the ATO. ACCI's Chief Executive Andrew McKellar stated that some small businesses rely on credit cards to manage cash flow when tax bills fall due.