THE Australian Taxation Office (ATO) has suspended its plan to deny payments by credit card from November 30. It has agreed to continue accepting credit card payments for tax obligations until June 30, 2027.

An ATO spokesperson said the change followed "discussions with the government and the provision of transitional funding".

"We will continue to consult with relevant stakeholders and stewardship groups to understand how best to support those experiencing financial hardship and identify alternative arrangements for businesses and individuals who are unable to pay via other methods," the ATO said in an official statement.

"Taxpayers who wish to continue using a credit card to meet their tax obligations after 30 June 2027 may continue to use third-party payment providers. The ATO encourages taxpayers considering these options to carefully consider relevant fees, charges and processing timeframes.

"The ATO also encourages taxpayers to remain vigilant against scams and verify the credentials of any third-party providers before sharing information or making payments."

The ATO said taxpayers needing additional support "are encouraged to contact the ATO or speak with their registered tax professional".

www.ato.gov.au

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THE Housing Industry Association (HIA) is calling on the Australian Taxation Office (ATO)  and Federal Government to reverse the decision to cease accepting credit card payments from November 30, warning the change needs to be viewed against the cumulative financial pressure already confronting residential building businesses.

HIA chief executive for industry and policy, Simon Croft said the decision removed a legitimate payment option used by some businesses to help manage cash flow at a time when builders are being asked to absorb an increasing range of costs, taxes and compliance obligations.

“Residential builders and small businesses more broadly continue to navigate a challenging operating environment, with increased construction costs, wages, insurance, finance and regulatory costs all significantly higher than they were just a few years ago,” Mr Croft said.

“Builders and small businesses are also navigating a growing list of additional cost and compliance pressures.

“Recent and upcoming changes include increases in minimum award wage rates, the introduction of payday superannuation, restrictions on credit card surcharges, higher fuel costs, increases in insurance premiums, and additional costs flowing through from levies and charges applied across the supply chain.

“Businesses are also facing proposals that could significantly increase the tax burden on family-owned enterprises, a reduction in government support for employers taking on apprentices, and an expanding range of regulatory and reporting requirements.

“Each of these changes may appear manageable in isolation, but together they are placing increasing pressure on business cash flow, profitability and confidence," Mr Croft said.

“Combined with elevated construction costs and tighter trading conditions, these pressures continue to make managing cash flow one of the most significant challenges facing residential building businesses.

“Cash flow remains critical for residential building businesses. Builders are often balancing payments to employees, subcontractors, suppliers, insurers and government agencies well before the next progress payment is received from a client.

“While the ATO's decision does not change the amount of tax owed, it removes one of the tools some businesses use to manage the timing of payments and maintain cash flow," he said.

“HIA is calling on the ATO and the Federal Government to reverse the decision before it takes effect on November 30 and retain access to credit card payments for taxation liabilities.

“Removing payment flexibility does not reduce a business's tax obligations. It simply makes managing cash flow more difficult at a time when many builders are already facing significant cost pressures.

“Small and medium-sized builders construct the majority of Australia's new homes. At a time when governments are looking to increase housing supply, every effort should be made to support the businesses responsible for delivering those homes, not impose further costs and complexities on their business,” Mr Croft said.

www.hia.com.au

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This includes a 11.3% lift in detached house starts and only a 0.6% higher density increase. Non-residential building activity is also up 12.1% on a year earlier.

While today's figures provide a snapshot of activity in the June quarter, other recent data releases, including building approvals, indicate the outlook has weakened since.

Building approvals, which precede building activity, dropped by 6.1% in August, with engineering construction activity also falling by 4.7% during the June 2026 quarter.

Master Builders Australia CEO Denita Wawn said it was important to remember that 98% of the construction industry is made up of small businesses.

"Recent policy decisions have been death by a thousand cuts for small building businesses at exactly the time Australia needs them delivering more homes and critical infrastructure," Ms Wawn said.

"Today's figures show there was still activity in the pipeline during the June quarter, but more recent indicators suggest conditions have since deteriorated and the outlook for new projects is becoming increasingly challenging.

"The flat result for higher-density housing is particularly concerning because that part of the market needs to do the heavy lifting if Australia is to meet its housing targets," she said.

“Each new measure, whether it be the ATO’s credit card ban, the upcoming changes to trusts or the changes to property investment, is adding to the growing burden on the small businesses responsible for building Australia."

Master Builders' forecasts released last week downgraded expected activity across housing, civil construction and non-residential building over the next five years compared with forecasts published in March.

The forecasts show Australia is on track to fall 262,000 homes short of the National Housing Accord target of 1.2 million new homes.

“That’s 262,000 less homes for Australian families, first home buyers and renters,” Ms Wawn said.

“The cumulative impact of the Federal Budget, continued interest rate increases and an ongoing global uncertainty have deteriorated the environment.”

www.masterbuilders.com.au

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THE House of Representatives Standing Committee on Climate Change, Energy, Environment and Water will hold a public hearing in Canberra on Tuesday, October 6, as part of its inquiry into solar panel reuse and recycling.  

Following industry site visits in Sydney and Wagga Wagga, the committee will hear evidence from industry, researchers and government stakeholders on opportunities and challenges in Australia's solar panel recycling and reuse sector, including how the industry can respond to growing volumes of end-of-life solar panels.

Committee Chair, Anne Urquhart MP, said, "The committee has seen firsthand the work already being undertaken by manufacturers, recyclers and researchers across the sector. Through this inquiry, we want to better understand the capabilities that currently exist, the challenges facing industry, and how Australia can prepare for the growing number of solar panels that will reach the end of their life in the years ahead.

“We are interested in exploring the potential policy settings, infrastructure investments and regulatory measures that could support a sustainable and economically viable solar panel reuse and recycling sector,” Ms Urquhart said.

The inquiry was referred to the committee on January 19 this year by the Minister for the Environment and Water, Senator Murray Watt.

Public hearing details:

Date:               Tuesday, 6 October 2026
Time:               9am to 4:30pm AEDT
Location:         Committee Room 2R1, Parliament House, ACT 2600

The hearing will be audio-visual broadcast live at aph.gov.au/live.

The committee will hear evidence from:

• Regional Development Australia Southern NSW & ACT
• Mr Wayne Peacock
• Halocell Energy Ltd
• Second Life Solar
• TSP Energy
• Circular Australia
• Australian Energy Infrastructure Commissioner
• Pan Pacific Recycling
• Product Stewardship Centre for Excellence

Further information, including the terms of reference, can be found on the Committee’s website.

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