ATO payment change adds mounting pressure on home builders
The Housing Industry Association wants the ATO and Federal Government to reverse a decision to stop accepting credit card payments from 30 November. HIA says the change adds financial pressure on home builders.
Why is the ATO stopping credit card payments and how will it affect my building business?
Builders and other contractors who use credit cards to manage cash flow on tax bills may lose that option. This could tighten working capital for small building businesses.
Key takeaways
- The ATO plans to stop accepting credit card payments from 30 November.
- The Housing Industry Association wants the decision reversed.
- HIA says the change adds mounting pressure on home builders.
- Builders who use credit cards for tax payments may need other cash flow options.
Related
HIA Victoria welcomes land tax proposals but urges broader action
HIA Victoria has acknowledged proposals from political parties to gradually lift Victoria's land tax threshold after the next election. It says easing land tax would give some relief to homeowners and investors, but wants broader action.
Why it matters: Builders and carpenters in Victoria may see more housing investment and construction demand if land tax eases. The article gives limited detail, so the effect on work volumes is uncertain.
Coalition migration measures recognise housing supply depends on workforce capacity
The Housing Industry Association has welcomed the Coalition's commitment to a skills-first migration approach and a dedicated construction visa strike team. It says the measures recognise that housing supply depends on workforce capacity.
Why it matters: Builders and other residential construction trades could see faster access to skilled migrant labour if the commitments are delivered. This may ease labour shortages, but it remains a policy commitment, not law.
Housing target shortfall an $11 billion black hole for states and territories
New HIA analysis says Australia is falling behind on the National Housing Accord target. The shortfall is put at an $11 billion black hole for states and territories. The analysis follows the latest ABS building activity data.
Why it matters: Builders, carpenters and other residential trades could see more pressure on governments to speed up approvals and incentives, which affects the future pipeline of new-home work.