A card reading transaction system includes a transaction control device, an intermediate server, a smart card server, an internet dongle, and a card reader. The transaction control device transmits a transaction message according to a transaction type and a transaction amount. The intermediate server generates a transaction request message according to the transaction message. The smart card server generates a transaction confirmation message according to the transaction request message. The intermediate server generates a first card reader operation message according to the transaction confirmation message, and converts a transmission format of the first card reader operation message to generate a second card reader operation message. The internet dongle converts a transmission format of the second card reader operation message received through the internet to generate a third card reader operation message for the card reader to debit or credit the transaction amount.