Qld climbdown: Payroll tax will not apply to patient fees paid directly to GPs
The decision should save practices, but as usual, the devil is in the detail, says Dr Bruce Willett.
A fresh payroll tax ruling will mean rebates and fees paid directly to GPs do not count as wages, says the Queensland Treasurer, signalling a potential escape from the $100 million tax bill on practices.
Cameron Dick made the announcement in state Parliament on Thursday morning, saying the Queensland Revenue Office would publish the detailed ruling next week.
“Under normal business arrangements, patient fees — including the Medicare benefit and any out-of-pocket expenses — when they are paid directly by a patient to a GP for that GP’s services, will not be subject to payroll tax,” Mr Dick said.
“I understand this presents a viable option for those practices going forward
