Prime Minister Anthony Albanese needs to intervene to put an end to the Allan Government’s unfair Health Tax.
Leader of the Opposition John Pesutto has written to the Prime Minister, asking him raise Labor’s Health Tax at the next Health Ministers’ meeting.
Under the Allan Government’s Health Tax, payroll tax calculations now include doctors and other health professionals who lease rooms from medical practices, rather than only direct employees of the practices themselves.
Health industry experts have warned this will put many practices out of business, end bulk billing, increasethe cost of seeing a doctor by almost 30 per cent – costing around $100 per visit – and drive an additional two million patients a year through Victoria’s already overwhelmed emergency departments.
The letter notes that the Queensland Labor Government has announced it will continue to exempt its General Practitioner clinics from payroll tax altogether, while the New South Wales Labor Government has announced it will pause payroll audits for General Practitioner clinics for up to 12 months to allow further consultation and consideration of impacts.
This comes after Federal Health Minister Mark Butler urged the Allan Government to reconsider its unfair Health Tax, warning that investments in Medicare “will be lost to increased payroll tax obligations by general practices”.
Mr Pesutto said: “Labor’s Health Tax will ultimately flow through to higher out-of-pocket costs for patients, fewer bulk billing clinics, and greater pressure on Victoria’s already overstretched hospital and emergency health systems.
“I call on the Prime Minister to bring this matter to the next Health Minister’s meeting so the Allan Government may finally understand the damage this tax will do.
“This is now an issue that requires national leadership to bring in nationally consistent arrangements and stop Labor’s unfair Health Tax.”
