ATO (tax office) payments by credit card

[angusburns]

I have the NAB platinum card. I have to pay over $100k this month so have to also use my wife's ANZ Amex - also 1.5 points per $ but, unlike NAB, uncapped.

Then I have to leave them in her account or use the 100k points per 12 months family transfer for some of the points. I don't like fragmenting my QFF points if I can help it but been caught our by the Citibank Select no ATO points change so there you go for now.

FWIW, with NAB it looks like ATO payments made on the last day of the statement cycle do not make it as they are processed the next day.

Which is understandable, I guess, but good to know that you have to leave a clear day before the end of the statement cycle, when you want to use the whole $100,000 per statement.

Hope this helps.

 

[sumthinfornuthin]

I don't see claiming deductions that are specifically highlighted by ATO on their website as being allowable as getting away with it.



There is no question that credit card fees can be claimed as a deduction under some circumstances - this is made abundantly clear in the the section of the ATO website that I linked to previously (entitled "Credit card payment fee deductibility guidelines"). So the mere use of a credit card definitely does not preclude claiming the fee as a deduction



There is a very clear and unambiguous distinction between funds available under a line of credit and your own funds. If your account is in credit, you are not borrowing money when you withdraw it. If your account is not in credit, and you go into debt (or further debt) by withdrawing money, then you are borrowing money. That really is a very simple concept.

To my way of thinking simply pre pay the same amount you intend to debit and don't even complicate it by trying to claim part of the transaction fee or if yiou do simply claim it on the amount applicable to the debit.

 

[legroom]

Lately, I have started to mix things up a bit more.

Ensuring the Indian takeaways or some such randomly goes to every card in the armoury.

I have to admit it starts to looks more 'homely' now instead just consisting of D'Ascenzo payments.

Whether it helps anyone / anything I am definitely not sure.

Maybe just the WOW card and not the others.

But who knows if the others start thinking like WOW ?

 

[tim374]

Lately, I have started to mix things up a bit more.

Ensuring the Indian takeaways or some such randomly goes to every card in the armoury.

I have to admit it starts to looks more 'homely' now instead just consisting of D'Ascenzo payments.

Whether it helps anyone / anything I am definitely not sure.

Maybe just the WOW card and not the others.

But who knows if the others start thinking like WOW ?

I think you mean Jordan payments. We got a new Commissioner at the start of January.

 

[cove]

Jordan Luxury Travel Co ??

 

[tim374]

Jordan Luxury Travel Co ??

Sounds good to me in theory. I tend to get minimal refunds being a salary/wage earner, so no luxury travel care of Mr Jordan.

 

[cove]

Well tim374 you are lucky not having about $190k disappear every 4th day into that black hole called the ATO.
When you look at your bank account and Frequent Flyer account it is all yours as you are having your taxes deducted at source.
In a business you have to pay the fiscal fiend regardless of whether your top 10 customers have decided unilaterally to pay 61/91 days after the end of the month just because they like being in charge.
Business customers have to pay the ATO on time or face fines based on a non commercially high interest rate.
Having said that business is mostly fun and we enjoy it.
We just had a beach side holiday and six of our group of eight just pay 10% GST on their purchases excluding food and medical and they no longer pay income tax, company tax, superannuation tax and so on as they have retired after working for 40 and 50 years each.

 

[DaveB]

Well tim374 you are lucky not having about $190k disappear every 4th day into that black hole called the ATO.
When you look at your bank account and Frequent Flyer account it is all yours as you are having your taxes deducted at source.
In a business you have to pay the fiscal fiend regardless of whether your top 10 customers have decided unilaterally to pay 61/91 days after the end of the month just because they like being in charge.
Business customers have to pay the ATO on time or face fines based on a non commercially high interest rate.
Having said that business is mostly fun and we enjoy it.
We just had a beach side holiday and six of our group of eight just pay 10% GST on their purchases excluding food and medical and they no longer pay income tax, company tax, superannuation tax and so on as they have retired after working for 40 and 50 years each.

Don't get me started Cove. My debtors to creditors ratio is always between 6 & 7 times with over 90% of my debtors various levels of government.
Funny (not) how the government is slow to make payment yet wants its cut before you even get paid. Forcing growing small businesses from cash to accrual tax payments is a great way to bust developing small companies.

 

[Pushka]

Got a second letter from ATO now saying our BAS statement wasn't received in time. Not the payment this time, just their statement. Which is bunkum. I don't lodge electronically because I tried doing this when it first started and found it impossible to use. Sometimes our accountant does it for us if we are not around. The waste of time I spend doing follow ups to their stupidity and poor systems should be chargeable.

 

[Deleted User]

Got a second letter from ATO now saying our BAS statement wasn't received in time. Not the payment this time, just their statement. Which is bunkum. I don't lodge electronically because I tried doing this when it first started and found it impossible to use. Sometimes our accountant does it for us if we are not around. The waste of time I spend doing follow ups to their stupidity and poor systems should be chargeable.

I agree, but the easy points stream helps ease the pain

 

[sumthinfornuthin]

Got a second letter from ATO now saying our BAS statement wasn't received in time. Not the payment this time, just their statement. Which is bunkum. I don't lodge electronically because I tried doing this when it first started and found it impossible to use. Sometimes our accountant does it for us if we are not around. The waste of time I spend doing follow ups to their stupidity and poor systems should be chargeable.

Happened to me 12 months ago. I wrote to the ATO advised them it had been sent and referred them to the consistent previous compliance in respect of lodgements amnd asked them to consider remitting the fine.............they did. Send them a letter.

 

[Pushka]

I agree, but the easy points stream helps ease the pain

Indeed. And a better receipt advice as well.

They didnt fine me, but given Australia Post (or w workcover provider/Insurance company) "lost" a document sent last week, it stinks that the ATO automatically assumes it is the employers fault, esp as you say sumthinfornuthin, we have been doing this for 20 years and compliance has been excellent (they commented similarly) so it just sucks they way they send out these nasty letters first.

Apparently on 26th March the ATO spewed out a whole lot of these letters incorrectly. Their system on the phone is now, that you cannot speak to anyone. You have to nominate a call back time. Guess what, between the hours of 6pm and 9pm. Because businesses really have nothing better to do than talk to the ATO. You then have to "guess" at an appointment time and if the one you pick is taken, you have to select another time. They say it will be in your local time, so I thought, 6.45 works for me. They called me at yes, you guessed, 6.15 and of course, right in the middle of cooking dinner so to be ready for their 6.45 call back. Then had to chase around looking for documentation to prove who I was. I hate the ATO.

 

[sumthinfornuthin]

Indeed. And a better receipt advice as well.

They didnt fine me, but given Australia Post (or w workcover provider/Insurance company) "lost" a document sent last week, it stinks that the ATO automatically assumes it is the employers fault, esp as you say sumthinfornuthin, we have been doing this for 20 years and compliance has been excellent (they commented similarly) so it just sucks they way they send out these nasty letters first.

Apparently on 26th March the ATO spewed out a whole lot of these letters incorrectly. Their system on the phone is now, that you cannot speak to anyone. You have to nominate a call back time. Guess what, between the hours of 6pm and 9pm. Because businesses really have nothing better to do than talk to the ATO. You then have to "guess" at an appointment time and if the one you pick is taken, you have to select another time. They say it will be in your local time, so I thought, 6.45 works for me. They called me at yes, you guessed, 6.15 and of course, right in the middle of cooking dinner so to be ready for their 6.45 call back. Then had to chase around looking for documentation to prove who I was. I hate the ATO.

It's all about POWER,....theirs....just grovel and be suitably subservient and let them get their jollies !!

 

[Pushka]

It's all about POWER,....theirs....just grovel and be suitably subservient and let them get their jollies !!

I know I know. I'm values driven though, and this stuff just sucks.

 

[Flashback]

Got a second letter from ATO now saying our BAS statement wasn't received in time. Not the payment this time, just their statement. Which is bunkum. I don't lodge electronically because I tried doing this when it first started and found it impossible to use. Sometimes our accountant does it for us if we are not around. The waste of time I spend doing follow ups to their stupidity and poor systems should be chargeable.

Don't worry, HMRC over here isn't much better.

 

[cove]

It is just one of life's games so relax and enjoy the points.
Do not expect a thank you letter this century!
I think I have paid more than $100 million so far in ATO bills and it seems to be increasing. I started paying taxes from 14 as I had some great student holiday work.
Thank goodness JS put us onto this as it put a big smile on my face.

 

[Danger]

. . . I think I have paid more than $100 million so far in ATO bills and it seems to be increasing.

Thank you for the upgrade to Great Eastern Highway.

 

[kpc]

I think I have paid more than $100 million so far in ATO bills

...pity it was not all paid on an AMEX.....150 million points will get you around the world a few times in F... (altho. the surcharges will come to $1.45 million @1.45% ATO AMEX surcharge:shock:)

 

[asg29e]

I think I have paid more than $100 million so far in ATO bills

Just think, a thousand more like you cove and the NBN will be all paid for. Now for the national disability scheme....

 

[penegal]

The idiosyncrasies of the Aussie tax system mean that I probably won't pay much, if any, personal income tax this year (FY13), but next year will be interesting... No easy ATO points, but almost twice the cash... you win some, you lose some


YMMV.