South Australian GPs to pay new payroll tax, likely increasing appointment costs

ABC NEWS (Australia)

South Australian GPs will start paying a new payroll tax from today, a move that doctors believe will make appointments more expensive and add pressure to the state's health system. Reporter Sophie Holder has more from Adelaide.

Transcript

00:00The state's peak professional body for doctors says this payroll tax could increase the cost

00:06of a GP appointment by around $10 for private consultations.

00:10As of today, GPs will be liable for payroll tax, which comes after a New South Wales tribunal

00:15ruling that GPs were employees, not contractors.

00:18There was an amnesty in place for the last financial year, but it will be coming into

00:21play today.

00:22There's an exception for wages earned for bulk billed appointments.

00:26Australian Medical Association SA president John Williams says that the tax will impact

00:30all clinics and could force some practices to close.

00:34The state's been facing a code yellow or internal emergency in metropolitan hospitals since

00:39late May, and we also saw a record high ramping in the state in May.

00:43Dr Williams says that during a time where the system is under that sort of significant

00:47pressure, there shouldn't be money taken out of general practice.

00:51The state's Liberal Party says that more people will be heading to hospital emergency departments

00:55because of this payroll tax.

00:56Treasurer Stephen Mulligan says he rejects the criticisms of the AMA, SA and the opposition,

01:02saying it won't make ramping worse.

01:04He says there's been work to protect bulk billing in the state, and he says that around

01:08three quarters of patients having consultations with GPs are bulk billed.

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