Powered by MOMENTUM MEDIA
accounting times logo

Powered by MOMENTUMMEDIA

Powered by MOMENTUMMEDIA

Qld government makes ‘milestone move’ to scrap patient tax

Tax
10 October 2024
qld government makes milestone move to scrap patient tax

The Queensland government has been praised by medical bodies for being the first state to abolish ‘patient tax.’

Medical bodies have applauded the Queensland government for committing to exempting GPs from payroll tax if re-elected, making general practice more affordable for all Queenslanders.

The move to abolish the tax was “nation-leading” and would be a win for doctors and patients across the state, according to the Primary Care Business Council (PCBC).

PCBC chair Dr Ged Foley said the Queensland government should be applauded for being the first in the country to support GPS and committing to ensuring primary care remained affordable and accessible.

==
==

“The Queensland Government’s pledge to abolish this destructive financial burden on GPs is the common-sense approach we desperately need to make sure patients have access to affordable primary care,” he said.

“I commend the Queensland government for making this decision and I know doctors across the state will be breathing a sigh of relief today, knowing that they can continue to operate with certainty.”

The commitment from the government came after the Liberal-National Party announced it would promote GPs to be exempt from payroll tax if elected.

Foley noted the burden this tax placed on general practice was unacceptable, and that other states should take this as an example of how to handle the issue that threatened the viability of GPs across the nation.

“The PCBC again calls on the ACT government to follow this lead and adopt a similar approach to exempt GPs from payroll tax that will force clinics to either close their doors or increase fees, both of which will impact patients hard, especially in a cost-of-living crisis,” Foley said.

“Abolishing payroll tax on GPs will keep the cost of visiting a doctor in check and it will take the pressure off overstretched emergency departments – it’s a no-brainer.”

“The Queensland government has done the right thing and it’s now time for other state governments to follow suit.”

The move to scrap payroll tax on GPs was also welcomed by the Royal Australian College of GPs (RACGP).

RACGP said Queensland was the first state to issue a new Revenue Office ruling after the body warned that a new interpretation of payroll tax could risk widespread practice closures and increase out-of-pocket costs for patients.

RACGP health spokesperson Dr Bruce Willett said this step by the Queensland government would ensure practices remained viable and GP care affordable.

“I’m pleased the government has continued to listen to the concerns of its healthcare professionals and announced these further steps to create a better health system for all,” he said.

“The government's commitment matches the LNP undertaking, meaning that no matter who wins the next election, Queensland GPs now have certainty their patients won’t be hit with higher out-of-pocket costs as a result of this tax.”

“That’s great news for Queensland patients.”

A RACGP survey revealed only 3 per cent of practices could absorb the costs of payroll tax on independent GPS and the rest would be forced to pass the cost on to patients.

Willet said there is no substitute for quality care from a GP who knows individuals and their history.

“We commend the government for ensuring GPs can continue to play their role in helping people stay healthy, stay out of hospital and reduce pressure on our health system.”

About the author

author image

Imogen Wilson is a graduate journalist at Accountants Daily and Accounting Times, the leading sources of news, insight, and educational content for professionals in the accounting sector. Previously, Imogen has worked in broadcast journalism at NOVA 93.7 Perth and Channel 7 Perth. She has multi-platform experience in writing, radio and TV presenting, as well as podcast production. Imogen is from Western Australia and has a Bachelor of Communications in Journalism from Curtin University, Perth.

Subscribe

Join our subscribers get exclusive access to freebies and the latest news

Subscribe now!
NEED TO KNOW