# Labor knew of ATO credit card ban plan in July

> The government concealed for months that it knew the tax office wanted to ban credit card payments, only admitting the timing after pressure.
- Title: Labor knew of ATO credit card ban plan in July · the Guardian
- Summary: The government concealed for months that it knew the tax office wanted to ban credit card payments, only admitting the timing after pressure. Assistant…
- Keywords: labor party, australian taxation office, credit card payments, daniel mulino, jim chalmers, small business, tax policy, news, politics, Labor, knew, ATO
- Source: the Guardian — https://theguardian.com/australia-news/2026/oct/18/labor-knew-in-july-months-earlier-than-previously-admitted-that-ato-planned-to-ban-credit-card-payments
- Published: 2026-10-18T01:31:45+00:00
- Read time: 1 min
- Topics: labor party, australian taxation office, credit card payments, daniel mulino, jim chalmers, small business, tax policy, news, politics
## Government knew earlier than admitted
Assistant treasurer Daniel Mulino has conceded he and Jim Chalmers knew in July the Australian Taxation Office was considering banning credit card payments, more than two months earlier than previously stated.
## What the ATO considered
After the Reserve Bank announced in March it would ban merchant fees on credit card transactions from October first, the ATO considered three options for handling tax bill payments.
## Government pushed for delay
Mulino said in July the government insisted there be a transition period and worked with the ATO to make it possible. The ATO's original two month transition fell during the busiest tax submission period.

> In July, what we did was to insist that there be a transition period and also we took action with the ATO to arrange that that was possible.
## Chalmers claimed later knowledge
Treasurer Jim Chalmers told parliament last week he learned of the decision in late September, about a week before it was made public. This contradicts Mulino's admission of July knowledge.
## Business groups criticise process
Andrew McKellar, chief executive of the Australian Council of Commerce and Industry, said the admission revealed a deficient policymaking process that took small business for granted and cannot be repeated.

> This looks like a completely deficient policymaking process that took small business for granted. It cannot be repeated.
## Ban delayed to mid-2027
Labor has intervened by funding the ATO to delay the credit card ban for tax bills until July twenty twenty-seven after widespread backlash from small businesses over the original plan.
## Key takeaway

Assistant treasurer Daniel Mulino admitted Labor knew in July the ATO planned to ban credit card payments, two months earlier than previously stated, sparking criticism of the government's handling.