Victorian Liberal Party Vows to Reverse Payroll Tax Changes for Doctors
The Victorian Liberal Party, led by John Pesutto, has pledged to introduce a bill to reverse changes made to the way payroll tax is collected from doctors. These changes, implemented in 2023, have resulted in significant financial burdens for many independent GPs working in medical centers.
Previously exempt from payroll tax due to their status as independent contractors, GPs are now facing tax bills amounting to hundreds of thousands of dollars. The Victorian government maintains that the tax is applied consistently across industries and professions, but the Liberal Party argues that the change will negatively impact Victorians already struggling with the rising cost of living.
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The announcement comes after the release of the state budget, which saw several projects and policies delayed due to the government's efforts to manage debt. Mr. Pesutto criticizes the budget, claiming it will disproportionately impact vulnerable populations.
Dr. Aadhil Aziz, Victorian deputy chair of the Royal Australian College of General Practitioners, welcomes the Liberal Party's commitment to revise the payroll tax changes. He expresses concerns about the financial strain on clinics and the potential impact on patient care.
The Victorian government has been contacted for comment.