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Penny Wong said the government cannot direct the Tax Office to reverse its decision to stop accepting credit-card tax payments after 30 November.
  • Finance

Australian ministers say they cannot order the tax office to keep taking credit cards

6 /10 3 min read
Canberra, Australia

Penny Wong said the government cannot direct the Tax Office to reverse its decision to stop accepting credit-card tax payments after 30 November.


Foreign Minister Penny Wong said on Friday that the government cannot direct the Australian Taxation Office to reverse its decision to stop accepting credit-card payments, ABC News reported. The Coalition has asked Labor to order the office to keep the option so businesses can pay tax by card.

The Tax Office said on 1 October that it will stop taking credit cards after 30 November 2026, after the Reserve Bank ended card surcharges. The office said it would not be appropriate, as a government agency, for merchant-fee costs to be passed to the community. It is writing to people whose payment plans are linked to a card and telling them to update the method before the next instalment due after that date.

ABC reported that Defence Industry Minister Pat Conroy said Labor ministers have been urging the office to consult business. Clare O'Neil said on Thursday that the government had real concerns about the change. Wong told Channel Nine the office is independent and governments cannot direct how it implements tax.

The cutoff date remains 30 November in the Tax Office notice. Friday's development is the ministerial response, not a new payment rule.

Alternative methods are listed by the office at ato.gov.au/howtopay. No reversal was announced in the ABC account.


People Sentiments Mixed

  • Penny Wong said governments cannot direct the tax office on how it implements tax.
  • Pat Conroy said ministers have been urging the office to consult business.
  • The Coalition has called for the credit-card option to be restored.

Keywords & tags

  • Australian Taxation Office
  • Penny Wong
  • credit cards
  • Pat Conroy
  • Reserve Bank
  • tax
  • payments
  • australia
  • politics

Source

ABC's Friday politics blog led with ministers responding to the Tax Office decision after Coalition calls for a reversal.