GST on merchant fees

(Newbie)Newbie

8 July 2025

I believe GST is applicable on merchant fees as charged by Amex, Mastercard etc but needed a second opinion to confirm my understanding?

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6 replies

1,847 views

6 replies

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(Taxicorn)Taxicorn

8 July 2025

Merchant fees are for credit card payment facilities. They are neither GST-free or input taxed (not a financial supply).

So they are subject to GST.

See payment of merchant fees (3.8) below

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(Newbie)Newbie

15 July 2025

Thank you for your response, appreciated.

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(Newbie)Registered Tax Professional

5 Nov 2025

what if the supply is GST free eg. a donation - are the merchant fees paid by the donor still subject to GST?

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