From December 1, 2026, the Australian Taxation Office (ATO) will no longer accept credit card payments, including one-off tax payments and instalments under existing payment plans.

If you currently pay the ATO by credit card, here's what you need to know before the change takes effect.

What to do before November 30

Check whether you use a credit card for any ATO payments.

If you have an ATO payment plan with instalments charged to a credit card, you'll need to update your payment method before your first affected instalment.

It's also worth checking any upcoming one-off tax payments you would normally put on your card.

What it could mean for your business’ cash flow

If you use a credit card to pay the ATO, you may be used to paying your tax bill when it's due and funding the card balance later.

From December 1, that option will no longer be available when paying the ATO directly.

Look at how much you have due after November 30 and what else you'll need to pay around the same time, including payroll, rent and suppliers.

The key question is simple: if your next ATO payment needs to come from your available cash rather than your credit card, will you still have enough working capital for everything else due around the same time?

Other ways to pay the ATO

The ATO will continue to accept other payment methods, including:

  • BPAY
  • direct debit from a bank account
  • electronic funds transfer (EFT).

Check the ATO’s latest payment guidance before making a payment, including any processing times that may apply.

Check for any cash flow gaps

Once you know what you owe and when it's due, compare it with the cash you expect to have available and the other expenses your business needs to cover.

If you identify a short-term cash flow gap, business funding may be one option to consider.

Bizcap considers applications from businesses with ATO debt, subject to our usual assessment and eligibility criteria. We look at the broader circumstances of the business when assessing an application.

Explore your funding options with Bizcap.

FAQs

When will the ATO stop accepting credit card payments?

The ATO will stop accepting credit card payments after November 30, 2026. From December 1, 2026, you'll need to use another accepted payment method.

Does the change apply to existing ATO payment plans?

Yes. If your ATO payment plan is currently linked to a credit card, you'll need to update your payment method before your first affected instalment.

What payment methods can I use instead of a credit card?

The ATO will continue to accept other payment methods, including BPAY, direct debit from a bank account and electronic funds transfer (EFT). Check the ATO's latest payment guidance before paying to confirm the options available and any processing times.

What should I do if the change creates a cash flow gap?

Start by working out how much you need to pay, when it's due and how much working capital you'll have available. If there's a shortfall, consider the options available to your business. Business funding may be one option.

Can I apply for Bizcap funding if I have ATO debt?

Having ATO debt doesn't automatically rule out applying for funding with Bizcap. We consider applications from businesses with ATO debt, subject to our usual assessment and eligibility criteria.

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Disclaimer: This information is general in nature and does not constitute legal, tax, financial or other professional advice. While we have taken care to ensure the accuracy of this content at the time of publication, rules and regulations may change. For advice specific to your business or circumstances, please consult a registered tax agent, accountant, legal adviser or refer to guidance published by the Australian Taxation Office (ATO).

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