Home Finance Canberra Delays ATO Credit-Card Payment Ban After Small-Business Backlash

Canberra Delays ATO Credit-Card Payment Ban After Small-Business Backlash

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Canberra Delays ATO Credit-Card Payment Ban After Small-Business Backlash

The Australian federal government has agreed to fund a delay to the Australian Taxation Office’s planned credit-card payment ban, following criticism from businesses. The ATO will continue accepting credit-card payments until 30 June 2027 while alternative arrangements are considered.

The original change was connected to the Reserve Bank’s ban on card surcharges. The ATO had argued that absorbing the fees would cost about $200 million a year; the temporary funding is intended to provide more time for consultation and transition planning.

For small businesses, the decision offers a reprieve rather than a permanent solution. The longer-term payment arrangements remain an issue to watch as the government and ATO work through the transition.

What to watch: Whether a practical third-party payment option is available before the extension ends, and how any associated fees will be handled.

Source: ABC News — 9 October 2026. This is an independent summary, not financial or tax advice.

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