Government covers credit card surcharges while ATO reviews ban
After businesses complained, the government will pay credit card fees. It will also talk more about the ATO's planned ban.
The Australian Taxation Office said it would stop taking credit card payments. The announcement came after the Reserve Bank banned passing these fees to customers.
Small businesses and the Coalition quickly criticized this move. Small businesses and the Coalition said it would hurt struggling households.
The head of the Australian Chamber of Commerce and Industry called Prime Minister Anthony Albanese. They asked the government to step in.
Treasurer Jim Chalmers said the government would pay the extra fees. The ATO would take more time to talk with people.
Chalmers said the Prime Minister did not push him out. He had already planned to support this move.
He said the ATO should have talked to more people before announcing the ban. The government is giving money for more review.
But it has not said if the ban will be fully stopped.
- Jim Chalmers
- Treasurer
- Anthony Albanese
- Prime Minister
Why it mattersSmall business owners will now avoid extra fees on credit card payments. This helps their cash flow while the government reviews the plan.
AustraliaAustralian small businesses keep credit card payment options open. Government intervention on policy shows businesses can push back on unpopular decisions that hurt their operations.
✓ Claims checked against the source and corrected before publish. checked 2 h ago
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