ATO delays end of direct credit card payments until June 2027

Australia’s government announced on October 9 that the Australian Taxation Office will continue accepting direct credit card payments until June 30, 2027. The service had previously planned to stop accepting them on November 30, 2026.

In a joint statement, Jim Chalmers and Daniel Mulino said small businesses considered the original transition period inadequate. The government will provide temporary funding to keep the payment option available until the financial year ends, with costs finalised in the budget forecast update.

The ATO will use the extra time to consult businesses and other taxpayers who rely on credit cards. The government also asked it to examine support for people experiencing financial hardship and alternatives for those unable to pay using other methods.

After June 30, 2027, taxpayers will still be able to pay by credit card through third parties. Debit card payments and bank transfers will remain available. The postponement therefore concerns direct acceptance of credit cards by the ATO, rather than ending every way of paying with a credit card.

The decision follows business criticism of the original timetable. The official announcement does not promise to retain direct credit card payments permanently.