GST Q&A – Are credit and debit card surcharges subject to GST?


Our current practice is that GST is applicable to the surcharge on all payments made by credit and debit card.  Could you please confirm that this is correct?  If not, what should the correct treatment be?

Also, could you please confirm that when we refund a purchase made by credit or debit card, we are refunding the surcharge as well.

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Disclaimer: This article is based upon information available as at the time of publishing and may be subject to change.