QRO Releases New Information for GPs Regarding the Payroll Tax Amnesty

By Craig Hong, Director at Hillhouse Legal Partners
| 4 min. read
health & medical corporate & commercial

Key takeaways

Key Takeaways

  • Are you a Contracted GP? The Queensland Revenue Office (QRO) has released new information regarding the Expression of Interest (EOI) for the GP Payroll Tax Amnesty, due by 29 September 2023. 
  • If you are considering whether or not to lodge an expression of interest for the amnesty, we think that all practices that may be eligible should seriously consider (or possibly reconsider) their position on entering an expression of interest.

Medical practices are reminded that if they wish to apply for the contracted General Practitioner (GP) payroll tax amnesty they have until 29 September 2023 to complete an Expression of Interest (EOI) form and meet the prescribed information requirements. 

The Queensland Revenue Office (QRO) has released new information clarifying that by completing the EOI process, this 'doesn't automatically make you liable for payroll tax'. The QRO Factsheet clarifies that there may be several benefits to registering for the EOI, as if you are successful in being eligible for the amnesty, you will have additional time to become compliant if required.  

If you elect to complete the EOI, and as a result of the subsequent review process that will be undertaken, it turns out that your practice is not liable for payroll tax, you can opt out of the amnesty process, with no further action required. 

The below diagram has been taken directly from the new QRO Factsheet 

If you are not registered for the EOI by 29 September 2023, and if you are found to be liable for payroll tax on your contracted GP payments, you will be liable for the full tax amount, interest and any penalties.   

If you have not lodged an expression of interest by the 29 September 2023 deadline, you cannot subsequently decide that you wish to apply for the amnesty. Only practices that lodge an EOI will be eligible.

In our view these clarifications provide a lot more certainty to practices that may have been “on the fence” about whether or not to lodge an expression of interest for the amnesty and we think that all practices that may be eligible should seriously consider (or possibly reconsider) their position on entering an expression of interest. Our team are available to assist practices in working through this decision making process in light of this new detail and taking into account the individual circumstances of their practice. Please note this is now time critical and urgent action should be taken if you intend on lodging an EOI within time.

On 22 December 2022, the Queensland Revenue Office (QRO) issued a Public Ruling regarding payroll tax and relevant contracts for medical centre businesses. A copy of the Public Ruling can be found here (the Ruling).

For further information regarding the QRO's Public Ruling, please see the article Queensland Revenue Office Clarifies Payroll Tax Position For Medical Practices. 

If a business operating a medical centre is currently being audited, encounters any payroll issues in their arrangements or relationships with doctors or other persons providing services to their business, or otherwise has reason to believe the Ruling may affect them, we recommend that they seek legal advice from Hillhouse Legal Partners in conjunction with medical accounting experts. Please contact Director, Craig Hong to discuss further on email or 07 3220 1144.

The information in this article is intended only to provide a general overview and has not been prepared with a view to any particular situation or set of circumstances. It is not intended to be comprehensive nor does it constitute legal advice. While we attempt to ensure the information is current and accurate, we do not guarantee its currency and accuracy. You should seek legal or other professional advice before acting or relying on any of the information in this blog as it may not be appropriate for your individual circumstances.
The information in this blog is intended only to provide a general overview and has not been prepared with a view to any particular situation or set of circumstances. It is not intended to be comprehensive nor does it constitute legal advice. While we attempt to ensure the information is current and accurate we do not guarantee its currency and accuracy. You should seek legal or other professional advice before acting or relying on any of the information in this blog as it may not be appropriate for your individual circumstances.