Following further advocacy from our office and others, the Queensland Treasurer has announced an extension of the expression of interest application period for the Payroll Tax amnesty until 10 November 2023. This amnesty runs until 30 June 2025. In addition, the Queensland Revenue office has released a new public ruling to make it clear, that under normal business arrangements patient fees, including the Medicare benefit, and any out-of-pocket expenses will not be subject to payroll tax when they are paid directly by a patient to a GP for that GP’s services.

We encourage all interested stakeholders to read the full public ruling at https://qro.qld.gov.au/resource/ptaq000-6.

The following information has been provided by the Queensland Revenue office regarding the Amnesty:

An amnesty operates differently to an exemption. Under an amnesty, a liability for tax still exists, but certain amounts relating to the tax may not actually have to be paid. Because of this, you may have to provide records so we can assess your liability, even though tax may not have to be paid under the amnesty.

  • Applying for the amnesty doesn’t automatically make you liable for payroll tax.
  • It provides the opportunity to better understand your payroll tax obligations.
  • It gives you time to become compliant if you need to.
  • If it becomes clear that you’re not liable for payroll tax, you can opt out of the amnesty process and you won’t have to take any further action.
  • If you don’t express your interest by 10 November 2023 and it is later found you are liable for payroll tax on your contracted GP payments, you will have to pay the full tax amount, interest and any penalties.
  • If you’re unsure whether you’re eligible for the amnesty, the best thing to do is express an interest before the closing date.

Applications for this amnesty are assessed on a case-by-case basis, and medical practices whose applications are successful will not be required to pay payroll tax on payments made to contracted GPs up to 30 June 2025 and for the previous 5 years (i.e. 2018–25).

To apply for this amnesty before 10 November or for more information, please visit https://qro.qld.gov.au/payroll-tax/liability/contractor-payments/amnesty or phone 1300 300 734

Further Information

Direct advocacy regarding payroll tax can be directed to the QLD Treasurer via treasurer@ministerial.qld.gov.au. Please cc’ our office in via noosa@parliament.qld.gov.au and forward any response you receive to us.

With funding for primary healthcare including Medicare rebates being a National matter, those with concerns relating to the financial viability of their local GPs and private medical specialists and any decisions they have made in relation to bulk-billing, are encouraged to contact their local Federal MPs to advocate for improved funding models and supports for all primary health providers.

For our previous Noosa 360 updates on GP Payroll Tax, please visit www.sandybolton.com/?s=Payroll+Tax