The ATO stops taking credit cards on 30 November. Here is how to keep paying by card
The ATO is dropping credit cards as a payment option. What changes, who it hits, and how to keep paying your tax by card.
If you have ever put a tax bill on your credit card, to buy yourself some time or to earn rewards on it, that option is about to be taken away from you. The ATO has announced it will stop accepting credit cards after 30 November 2026. For many people, the change is irrelevant. For anyone struggling with their cashflow or using tax payments to earn valuable loyalty points, it’s worth knowing what comes next.
The short version
- The ATO will stop accepting credit card payments after 30 November 2026.
- Direct debits linked to a credit card need to be updated before your next instalment after that date.
- Because the ATO is not passing on credit card merchant fees, it is removing the option altogether.
- You can still pay your tax by card through a third-party bill payment service like Sniip, with or without an ABN.
What is actually changing
From 30 November 2026, payments via the ATO payment portal will no longer be enabled for credit cards as a way to pay a tax bill , including an instalment on a payment plan. The change follows the Reserve Bank’s review of what card payments cost – the same review behind the removal of card surcharges on 1 October 2026.
The ATO’s reasoning is simple: It says it would not be appropriate for the cost of credit card merchant fees to be transferred to the community. SO Rather than absorbing those fees, it’s dropping credit cards as an option via their portal.
Worth knowing. If you are on an ATO payment plan with a credit card attached, you need to update it before your next instalment after 30 November. You can do that at ato.gov.au/managepaymentplan.
Who this affects
The people most likely to notice are those who use a credit card as a choice:
- Investors and landlords with a tax bill from rental, share or crypto income.
- Sole traders and small business owners paying BAS, GST or PAYG instalments.
- Anyone using interest-free days to spread out a large bill.
- Rewards card holders who earn on their biggest annual expense.
The catch with many 3rd party services
Here is the part the coverage tends to skip. Most of the payment providers that let you pay the ATO by card are built for businesses. To sign up, you need an ABN.
That works if you run a business. It doesn’t help an employee with an investment property, the retiree on quarterly PAYG instalments, or anyone who just ended up owing tax this year. They are left with bank transfer or BPAY from their savings or cheque account.
When we built Sniip, we built it for households as well as businesses. That matters more after 30 November than it ever has before.
No ABN, no worries
Pay your personal or business tax bill by card through Sniip. No ABN needed.
See how it worksPaying your tax by card through Sniip
Sniip lets you pay bills with the payment method you prefer, including a credit card, even where the biller does not accept cards directly. The ATO is one of those billers.
- Add your ATO bill using the BPAY biller code and your reference number.
- Choose the card you want to pay with.
- Confirm. The ATO receives the funds by BPAY, the way it normally would.
There is a small processing fee shown before you confirm. That has always been the arrangement, and it’s the reason why Sniip makes paying bills by credit card possible at all.
Worth knowing. Payments take time to clear. Pay a couple of business days before your due date so the ATO receives the funds on time.
What to do before 30 November
If you have never paid the ATO by card, nothing changes for you.
If you have, there are three things to sort now rather than in late November:
- Update any credit card direct debit or payment plan with the ATO.
- Check when your next tax payment, BAS or instalment is due.
- Set up a way to keep paying by card, so the next bill does not catch you out. (cue download Sniip).
You can read the ATO’s announcement at ato.gov.au
FAQs
The information in this article is general in nature and does not take your objectives, financial situation or needs into account. Sniip is not affiliated with the Australian Taxation Office. Fees, conditions and eligibility criteria apply. Check your card’s terms for how bill payments are treated.
Pay your bills, keep your points
Pay any BPAY or non-BPAY bill with the card of your choice and still earn your card’s rewards.