ATO’s Fuel Response Relief
Rising Fuel Costs Hurting Your Bottom Line? The ATO’s New Relief Plan Explained
If your business is feeling the squeeze every time you or your supply chain partners hit the petrol station, you aren’t alone. Surging fuel costs have put immense pressure on cash flow across almost every industry.
The good news? The Australian Government has just rolled out the National Fuel Security Plan, and the ATO has introduced temporary relief measures starting 1 April 2026.
At Galley Associates & Advisory Group, we are already digesting these changes so you don't have to. Here is a breakdown of the new support available and how we can help you keep your cash flow moving.
1. Immediate Savings at the Pump
To offer immediate, short-term relief, the government has announced two major reductions running for the next three months:
Fuel Excise Halved: A reduction of 26.3 cents per litre on the fuel excise.
Heavy Vehicle Support: The heavy vehicle road user charge has been reduced to zero.
While this helps lower day-to-day expenses, the ATO recognizes that many businesses are already dealing with accumulated financial strain. That’s where the newly announced payment support comes in.
2. The ATO Fuel Response Payment Plan: Breathing Room for Your Tax Debt
If high operating costs have made it difficult to service your existing tax debt—or if you've accrued a new tax debt recently—the ATO has introduced a highly favorable Fuel Response Payment Plan.
This is a tailored, temporary lifeline designed to keep businesses afloat, offering:
Zero Upfront Payments: You can initiate the plan without needing a lump sum upfront.
Extended Terms: Spread your debt across 3 years (36 equal monthly instalments).
Interest Relief (GIC Remission): If you stick to the plan and keep your lodgments up to date for the first three months, the ATO will look favorably on remitting the General Interest Charge (GIC) accrued during that period.
3. Are You Eligible?
You don’t need to be in the freight or transport industry to qualify! You may be eligible if you meet the following criteria:
You hold an ABN.
Your costs have increased: This applies whether your costs increased directly (paying for fuel) or indirectly (increased transport, logistics, or supply chain costs passed onto you).
Reduced capacity to pay: You can demonstrate that if it weren't for these high fuel-related costs, you would have been able to meet your tax obligations.
Up-to-date lodgments: Your tax lodgments must be current (or brought up to date within 3 months of starting the plan).
Let Us Handle the Red Tape
The application process for this specific relief plan requires evidence of your eligibility and careful negotiation with the ATO. You don't have to navigate the ATO online portals or wait on hold. As your registered tax agents, Galley Associates & Advisory Group can:
Assess your eligibility for the Fuel Response Payment Plan.
Prioritize your lodgments to ensure you meet the compliance criteria.
Submit the application and negotiate the payment terms on your behalf.
Look at varying your PAYG instalments to give you even more immediate cash flow relief.
Time is limited: The ATO Fuel Response Payment Plan is only available by application until 30 June 2026.
Don't let fuel costs stall your business. Contact Galley Associates & Advisory Group today, and let us help you secure the financial breathing room you deserve.
Let Us Handle the Red Tape
The application process for this specific relief plan requires evidence of your eligibility and careful negotiation with the ATO. You don't have to navigate the ATO online portals or wait on hold.
As your registered tax agents, Galley Associates & Advisory Group can:
Assess your eligibility for the Fuel Response Payment Plan.
Prioritize your lodgments to ensure you meet the compliance criteria.
Submit the application and negotiate the payment terms on your behalf.
Look at varying your PAYG instalments to give you even more immediate cash flow relief.
Time is limited: The ATO Fuel Response Payment Plan is only available by application until 30 June 2026.
Don't let fuel costs stall your business.
Contact Galley Associates & Advisory Group today, and let us help you secure the financial breathing room you deserve.