ATO Stops Accepting Credit Cards From December
From 30 November 2026, the ATO will stop accepting credit card payments altogether — Amex, Visa and Mastercard credit included. It's a direct flow-on from the Reserve Bank's ban on card surcharging, which took effect today, 1 October 2026. If your business pays tax by credit card, or has a payment plan linked to one, there's a date on the calendar now.
30 Nov 2026
Last Day to Pay the ATO by Credit Card
2.3%
Tax Payments Made by Credit Card (2024–25)
1 Oct 2026
RBA Surcharge Ban Takes Effect
4
Payment Methods That Continue (BPAY, EFT, Debit, Direct Debit)
IN BRIEF: After 30 November 2026, the ATO will no longer accept credit card payments of any kind. It follows the Reserve Bank's ban on card surcharging, which started today, 1 October 2026. Debit cards, BPAY, direct credit/EFT, direct debit and Australia Post payments are all unaffected. If your BAS payments, income tax instalments or a payment plan are currently set up against a credit card, you'll need another payment method in place before your next payment falls due.
What is changing?
From 30 November 2026, the ATO will stop accepting credit card payments entirely — covering American Express, Visa and Mastercard credit cards, whether paid directly on ato.gov.au, through Government EasyPay, or linked to a payment plan or direct debit arrangement.
The ATO says only around 2.3% of tax payments in 2024–25 were made by credit card. For most taxpayers that's a non-event. But for businesses that use a credit card deliberately — for the short-term float (up to 55 days interest-free) or for reward points on a large BAS or income tax bill — this closes off a cash-flow tool that's been available for years.
KEY CHANGE
Why is the ATO doing this now?
This follows the Reserve Bank's Review of Merchant Card Payment Costs and Surcharging. From 1 October 2026, surcharging is banned on debit, prepaid and credit card payments across EFTPOS, Mastercard, Visa, Amex, JCB and UnionPay, and the interchange fees merchants pay are being lowered at the same time.
As a government agency, the ATO has said it wouldn't be appropriate for the cost of credit card merchant fees to be "transferred to the community." Rather than continuing to absorb that cost or find another way to pass it on, it's removing credit cards as a payment method altogether.
What still works?
BPAY — available through your own online banking, using the ATO's biller code and your payment reference number.
Direct credit / EFT — a bank transfer straight to the ATO's nominated account.
Debit card — still accepted through ATO online services and Government EasyPay; it's only credit cards being removed.
Direct debit and Australia Post — existing direct debit arrangements continue, and in-person or mailed payments through Australia Post are unaffected.
What should you do now?
Switch your regular payment method before 30 November
If you pay BAS or income tax by credit card as a matter of habit, move to BPAY or EFT through your own banking or accounting software now, so there's no gap when the change takes effect.
Update any payment plan or direct debit linked to a credit card
The ATO won't chase this for you. If an existing payment plan or direct debit is drawing from a credit card, update it to a bank account before your next instalment due after 30 November 2026.
Weigh up a third-party card-payment service if the float matters to you
Services exist that let you pay the ATO by credit card for a fee — you pay them by card, they pay the ATO by EFT on your behalf. This can preserve cash-flow timing and reward points, but compare the service fee against what you're actually gaining before switching to one.
Check your own surcharges today, not just the ATO's
Separately, the RBA's surcharge ban started today, 1 October 2026. If your business still charges customers a card surcharge, it needs to come off every terminal, POS system, payment gateway and online checkout now — this is a compliance item in its own right, independent of how you pay the ATO.
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 your business should pay the ATO after November, or whether your own surcharges are compliant?
Our team can review your current payment arrangements, update any payment plans tied to a credit card, and check your surcharge settings against the new RBA rules.