ATO Extends Credit Card Payments to 30 June 2027
The ATO has pushed back the date it will stop accepting credit card payments for tax debts. Payments by card will now be accepted until 30 June 2027, seven months later than the 30 November 2026 date first announced. For any business that pays its BAS, PAYG or other ATO liabilities by card, that is welcome breathing room — but the end of card payments has been delayed, not cancelled.
30 Jun 2027
New Credit Card Cut-Off
30 NOV 2026
Original Cut-Off Date
9 Oct 2026
Extension Announced
IN BRIEF: The ATO will keep accepting credit card payments until 30 June 2027, rather than 30 November 2026. Nothing changes for you today, but the cut-off has only been delayed. Use the extra time to work out how you'll pay once cards are no longer accepted, rather than leaving it to the last quarter.
What has changed?
The ATO first announced that it would stop accepting credit card payments from 30 November 2026. Following backlash from small businesses, the Government has since committed to provide transitional funding so the ATO can continue accepting credit card transactions, and the ATO has extended the transition period until 30 June 2027.
Until then, you can keep paying ATO liabilities by credit card exactly as you do now. The ATO has said it will continue consulting stakeholders on support for people experiencing financial hardship and on alternative payment arrangements, but it hasn't yet said what those arrangements will be.
What is different before and after 30 June 2027?
Until 30 June 2027
The ATO accepts credit card payments for tax obligations.
No change to how you pay today.
Transitional funding from the Government supports the arrangement.
After 30 June 2027
The ATO no longer accepts credit cards directly.
Anyone still wanting to pay by card must use a third-party payment provider.
Providers set their own fees and processing times.
What is still unclear?
The extension answers the "when" but not much else. The ATO hasn't published what alternative arrangements will be available for businesses and individuals who can't pay by other methods, and it hasn't set out how its consultation will work. Industry commentary has also questioned how much consultation took place before the original announcement.
Until more detail is released, the safest assumption is that the 30 June 2027 date will stand and that you'll need a plan that doesn't depend on a credit card.
What should businesses do now?
Check how you pay today
Look at which ATO payments currently go on a credit card and why. If the card is part of your cash flow management, work out what the same payments would look like through other methods, such as a bank transfer, BPAY, direct debit or a payment plan.
Build the timing in early
Don't wait for the final quarter before the cut-off. Moving a few payments off the card now lets you see the cash flow impact while you still have the option to switch back.
Be careful with third-party providers
If you decide to keep paying by card after 30 June 2027, compare the fees and processing times of any provider first, check their credentials before sharing information or paying, and stay alert to payment scams.
Watch for the ATO's next update
The ATO has said it will keep consulting on alternative payment arrangements, particularly for those facing financial hardship. If cash flow is already tight, it's worth raising it with us or the ATO early rather than waiting for the cut-off.
This article is intended as general information only and does not constitute tax advice. We recommend speaking with us directly to understand how these changes apply to your specific circumstances.
Not sure how you'll pay once credit cards are no longer accepted?
Our team can review how your ATO payments are currently made and help you plan a payment approach that works for your cash flow well before the cut-off.