00:01We now know who knew what and when.
00:04Of course, this all goes back to earlier this month
00:06when the tax office announced that from December
00:09it would stop accepting credit card payments for tax bills,
00:13really because of a new ban on credit card surcharges,
00:17which the ATO says would cost it about $200 million a year
00:21if it were to continue accepting credit card payments.
00:25But this move really angered business groups
00:28who on the one hand were being told
00:29that they would have to either absorb or pass on the costs
00:32from this new credit card ban surcharge,
00:35while at the same time they wouldn't be allowed
00:38to pay their tax bills via credit card from December.
00:40So this prompted a government intervention.
00:43The government gave the ATO some extra funding
00:46to delay the ban on credit card payments
00:48until the end of the financial year.
00:50It was Jim Chalmers, the Treasurer,
00:52who announced this delay, announced this intervention.
00:55And at the time he said that he'd known since September
00:58that the ATO was considering banning credit card payments
01:01because of the cost of the surcharges.
01:04And he said that as Treasurer,
01:06he insisted the agency put in place a transition.
01:10Well, today we learn from the Assistant Treasurer,
01:12Daniel Molino, that he's known since July
01:15that the tax office was grappling with this issue,
01:17that it was trying to negotiate with credit card companies
01:20to lower their surcharge fees.
01:22But if they weren't successful, which obviously they weren't,
01:26that they'd end up banning credit card payments altogether.
01:29So at this stage, from mid-next year,
01:32the tax office will be banning credit card payments
01:35for tax bills.
01:36It has caused a lot of concern, a lot of backlash.
01:39And really the question now for the government is,
01:41if it's known since July that this ban was potentially coming,
01:45how did it not predict the backlash from business
01:48or foresee the criticism that was coming?
01:51But for his part, here's Daniel Molino
01:53explaining part of the timeline on Insiders this morning.
01:57In July, the government became aware
02:00that the ATO was looking at options
02:03and that at that point,
02:04their preference was to not accept credit cards.
02:08And we made it very clear
02:09that we wanted them to continue to engage
02:11with credit card companies
02:12to seek the best possible deal for the taxpayer
02:16and to explore ways in which they might be able
02:19to continue accepting credit cards.
02:21And we also made it clear
02:22that we wanted there to be a transition period.
02:25And Jane, this controversy has prompted speculation
02:28of a rift between the Prime Minister and the Treasurer.
02:32What are Labor ministers saying about that?
02:34Well, publicly, they're saying there's nothing to see here.
02:37But the speculation really kicked off earlier this week
02:40when the Prime Minister appeared to suggest
02:42at a business dinner
02:43that he had personally stepped in and intervened
02:46to push the tax office
02:47to delay its looming ban on credit card payments
02:50when it was actually the Treasurer who announced it.
02:52So it looked as though the Prime Minister
02:54had sort of overruled or rolled his Treasurer.
02:57Now, both are denying that happened,
02:59saying that they were on the same page.
03:02But what we know is the government
03:04is under a lot of pressure right now.
03:05It's suffering the kind of mid-term blues
03:07of its second term in office.
03:09The economic outlook is worsening.
03:10The Senate is thwarting its agenda.
03:13And really, Labor appears locked in a battle
03:15with business groups.
03:16The credit card surcharge ban just the latest
03:18on top of a series of friction points,
03:20which really began when Labor announced
03:23a whole range of tax changes in the May budget.
03:26So MPs on the Labor side are getting jittery.
03:28The Prime Minister is urging them not to panic,
03:31saying Labor is far from finished
03:32and will, you know, build up the momentum
03:34towards the next election.
03:36But I suppose at a time when Labor is trying
03:39to get some contentious legislation
03:41through the Senate, you know,
03:43let's look at a new tax on trusts,
03:45the gas reservation scheme,
03:46a digital duty of care.
03:48From Labor's point of view,
03:50within the sort of ranks, within Labor ranks,
03:52they don't want to see distractions
03:54like this credit card surcharge ban
03:56and the controversy that has sort of ensued.
04:01So MPs on the other side of the Senate,
04:02You
