ATO (tax office) payments by credit card

[angusburns]

Yes, but if you have a Citibusiness Visa you get 1.25 points per dollar so the cost per point is only 0.384% instead of 0.48%.
If it is tax deductible then you get 30% off due to the 30% corporate tax rate, so it only costs you 0.2688%.
Some argue that you actually get 48% off as it is a pre-personal tax benefit.

If you have a Citibank Visa Select and redeem for Singapore Airlines Krisflyer points then you get 1.33333 points per $ and you can crunch the numbers on that yourself but it is slightly better than above, but costs more.

I figure roughly 1/4c per point for business Visa payment and 1/3c per point for non-tax deductible payments.

I just sent my wife to the UK return on Singapore Airlines in J class - roughly $6,600 ticket + $1,000 taxes etc (fixed overhead) for 220,000 points so 3c per point value at a 1/4c per point cost = 12x yield on cost. Of course some of my points earned have no surcharge / cost so I actually get a slightly better yield than that but you get the idea.

Amex costs more per point but you can earn 1.5 points / dollar on some Amex, so if you need points and want to fly J class (business) it still works out cheaper than cash, so some people do that.

Hope this helps

 

[sumthinfornuthin]

I didn't think Medibank private accepted AMEX ???

 

[cove]

Medibank Private said NO to me on Amex so I did Citi Select for the payments to 31.12.2013 as that is a Visa.

 

[drross]

This subject came up at a meeting I was at last night. Apparently all the insurers are now offering at least a year's prepayment and some are now offering two - HCF and BUPA were named. Good to hear MP has at least gone to 1.5 years.

Have paid for 12 months with BUPA .. Not offered alonger period

 

[freepyjamas]

Sorry if this has already been covered (but there's a hundred pages in this thread and I'm not that dedicated) but a quick question:

ATO site says 'tax payments between $10 and $50,000 will be accepted'.

Well, I'm about to get hit with a tax bill well north of 50k. Does anyone know if I can use the CC by making multiple payments of 50k on the one bill?

thanks,
fp

 

[Stephen65]

Well, I'm about to get hit with a tax bill well north of 50k. Does anyone know if I can use the CC by making multiple payments of 50k on the one bill?

Yes you can and I have.

 

[cove]

Yes you can pay more than one $50,000 in a day so that is not a problem.
If you call my ATO girlfriend you can do 5 lots of $50,000 on one phone call. Her number is 1300 898 089 and write down the receipt numbers.
If your tax bill is more you make another call and so on.

 

[amaroo]

Sorry if this has already been covered (but there's a hundred pages in this thread and I'm not that dedicated) but a quick question:

ATO site says 'tax payments between $10 and $50,000 will be accepted'.

Well, I'm about to get hit with a tax bill well north of 50k. Does anyone know if I can use the CC by making multiple payments of 50k on the one bill?

thanks,
fp

I believe the only problem the "whales" have is loading & clearing the multiply cards in short time thus, allowing them to process the 100's of thousands of $$:shock: Cool problem to have

 

[freepyjamas]

Thanks for the info guys!

(I'm not really a whale... Just sold a business recently and the ATO is getting in for their chop)

 

[cove]

With a good plan you may be able to travel now and score those free PJs care of the ATO Frequent Flyer points.

 

[freepyjamas]

More free PJ's will certainly take a little of the pain out of the tax bill

 

[cove]

We have 6 upgrades to SQ suites from the Citi Select Kris points Visa so I should not complain about taxes. Sure the cash has to be paid and lots of people currently think we should pay more so they can pay less. They miss out on the free PJs of course.
Facing up to a tax bill that exceeds your credit limits is always a mental challenge of scheduling BPays after deciding which cards to use. Visa has been getting the largest share even though the points earning rate is a little bit less but I can understand why many continue using Amex Ultimate to maximize points.

 

[freepyjamas]

I could do either visa or Amex, but triple the % fee for Amex is a bit of a killer. Not sure I want to stump up that much extra cash for points to be honest. Ultimately I guess the value equation isn't that much different on a points-per-dollar basis between e two cards, but when you factor in the opportunity-cost of paying a higher fee upfront and maybe not using those points for a number of years... I'm not sure it's worth it.

 

[drron]

Well we have just returned from our first Wayne Swan rewards program flights.2 J return BNE-SIN all from MR points from paying my tax.Love it.

 

[Princess Fiona]

Well we have just returned from our first Wayne Swan rewards program flights.2 J return BNE-SIN all from MR points from paying my tax.Love it.

lol !! Wayne Swan rewards. V.Jealous from the sidelines as a PAYG.
Didnt know the trick about the Health Funds and will definitely be paying up front for that now

 

[KLN]

Well we have just returned from our first Wayne Swan rewards program flights.2 J return BNE-SIN all from MR points from paying my tax.Love it.

HAHA......love it drron. still sitting on a side of a swiss mountain drinking coffee after a successful trip to Catalunya and Monaco, then home via Marina Bay. will leave Mrkln to go ontoLemans 24hour, all flights J courtesy of ATO. home next friday. thanks Wayne and to all contributors of the thread......xx_

 

[PLANT]

Just to confirm Bupa is a year in advance right?
No further time can be gained?

I always pay a year in advance, before April 30th...but how do you get longer and is it worth it?

 

[Stephen65]

Have paid for 12 months with BUPA .. Not offered alonger period

I was at a meeting where we were discussing this and one of the people there said that they had asked for and got two years from BUPA. You may have to press them for it. They should at least match MP's 18 months.

 

[Cynicor]

HBF in WA are doing 18 months, paid up until Jan 2014 last week. Got home the same night to a letter telling me I was eligible for a discount with HBF through a professional association

But called them up and they say they will refund to my CC.

We'll see...

 

[PLANT]

I understand the 12month increase BUT why go for 2years PREPAY Health Insurance again?
Where is Mp's link for 18months?