Australian Tax Office calls emergency forum after credit-card payment ban sparks business backlash

In response to the Reserve Bank of Australia's ban on card surcharges, the Australian Taxation Office said it could no longer accept credit-card payments after November 30, as absorbing the fees would reduce tax revenue. Business groups claim this creates a double standard, forcing small enterprises to shoulder costs that larger entities avoid. Andrew McKellar of the Australian Chamber of Commerce and Industry and Denita Wawn of Master Builders have publicly urged a reversal, criticizing the lack of consultation.

Taxation Commissioner Rob Heferen explained that merchant fees total almost $200 million annually and that credit-card payments make up just 2.3 % of ATO receipts. The agency has summoned members of its small-business stewardship group for an urgent forum to address the concerns. Other organisations, such as StrataPay and several local councils, have also announced they will stop accepting credit-card payments.