Today, Queensland's government revealed a full exemption from payroll tax for independent general practitioners.
The Royal Australian College of General Practitioners welcomed the move. Recorded radio news grabs and further context are linked below, from:
- RACGP Queensland Chair Dr Cath Hester
- RACGP President Dr Michael Wright
- RACGP NSW&ACT Chair Dr Rebekah Hoffman
Further context:
- Practices run on very thin margins. Our surveys found just 3% of practices could absorb the costs of payroll tax on GPs.
- Practices have always paid payroll tax on their employees (receptionists, nurses etc) but it never applied to GPs because they work independently. This changed after a final ruling by the NSW Court of Appeal in 2023 deemed independent practitioners as employees for payroll tax purposes.
- Queensland was the first state to listen to the RACGP and provide an amnesty to prevent practices going bankrupt due to retrospective tax.
- It was also the first state to issue a new Revenue Office ruling that patients’ fees paid directly to a GP for their services will not be subject to payroll tax.
~ENDS
About us:
The Royal Australian College of General Practitioners (RACGP) is the peak representative organisation for general practice, the backbone of Australia’s health system. We set the standards for general practice, facilitate lifelong learning for GPs, connect the general practice community, and advocate for better health and wellbeing for all Australians.
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Contact details:
Ally Francis
Media Adviser
Contact: 03 8699 0992 / media@racgp.org.au