Coalition says state’s stance on GP payroll tax ‘bad policy’

There could be dire consequences for “bad policy” over the new interpretation of payroll tax on GPs, the state opposition has warned.

There could be dire consequences for “bad policy” over the new interpretation of payroll tax on GPs, the state opposition has warned.

A Sunday Mail investigation revealed GPs could be forced to close as they scramble to figure out a way to pay a 4.7 per cent tax, with the new interpretation meaning some practices were slugged with thousands of dollars in bills.

The investigation revealed patient fees could go up a staggering 15 per cent, with doctors fearing there would be a flow-on effect to emergency departments.

Opposition Leader David Crisafulli on Monday said the new interpretation of the tax made no sense.

“Why in the middle of a health crisis, would you ask people to go into an emergency department when they could be seen by their doctor?” he said.

“And why in the middle of a cost-of-living crisis would you ask them to pay more to see them? It just defies belief. There are real consequences for bad policy.”

Saltwater Medical practice director Jen Kettleton-Butler said she had been running on fight-or-flight mode over the past three weeks.

“I have no choice but to pass it on, or close the business and walk away, and I’m not walking away,” she said.

“Too many people rely on this practice to be able to do that, what I’m being forced to do right now, against every fibre in my being is to contemplate putting up prices for patients to see their GPs.

“If I don’t I go bankrupt, I lose my house, I lose the future that I’ve worked for and the business that I’ve poured my heart and soul into for the last six years. You cannot get blood from a stone, there’s nothing more to give.”

A spokesman for Treasurer Cameron Dick said ongoing payroll tax exemptions for particular sectors would only create distortions that would increase the tax burden on other Queenslanders.

“Like other states, Queensland is calling for an overhaul of funding for primary health care,” he said. “Unlike other states, Queensland’s revenue office does not specifically target GP clinics for payroll tax compliance.

“The Queensland Revenue Office is continuing to work closely with the RACGP to address GPs’ concerns.”

Originally published as Coalition says state’s stance on GP payroll tax ‘bad policy’