Queensland Payroll Tax Ruling For Medical Centres – Nicky Jardine

Alarm bells are ringing with a recent Medical Centre Queensland Payroll Tax Ruling spreading fear nationwide.

Fortunately there is a 15-minute confidential self-assessment Payroll and Income tax checklist to address this recent “Medical Centre” Payroll Tax and Federal Court Ruling that targets how you run your practice.

Please take the time as a medical practice owner to do your assessment through the link below:

You may also wish to send the link below to your accountants, lawyers, and other services outsourced at your practice as this link provides a separate self-assessment for contractors:

Any changes that these assessments identify are best made as soon as possible, for example:

  1. The practice must not have the word contractor on their contract.
  2. You shouldn’t refer to the building as a medical centre – it is a building where doctors pay fees to rent rooms.
  3. Receptionists and the practice must change their dialogue by explaining that doctors are tenants.
  4. A service entity should be set up that only collects fees. You would not do a BAS for this entity, and you would not pay registrars from the service entity (or any doctors)
  5. The provider should pay the practice for consumables, not the practice on charging. The only way I can think of doing this is by charging the consumables to the patient from the doctor and then invoicing the doctor for the consumables and procedure fees.
  6. Websites and marketing need rewording. Instead of saying “our doctors” or “our team”, you should refer to them as tenants and have doctor’s ABNs displayed on the website.
  7. On-line bookings- there should not be a centralised booking system online i.e. having a booking tab beside each doctor.

Depending on how well your medical practice is set up, there are several one-off fixes you may need to make to comply, and this article by David Dahm at Health and Life provides more information for practices and general practitioners.

Nicky Jardine has helped establish compliant and profitable medical practices across Australia in rural and urban environments for over a decade, applying a mix of onsite and virtual solutions to meet the diverse visions of practice principals.

For those practice principals seeking to take their practice to the next level, you are welcome to book a free 30-minute consultation with Nicky Jardine Health Business Solutions here: https://nickyjardine.com/#bookings

Otherwise, for more information, please visit the website or contact Nicky at nicky@nickyjardine.com or by calling 1300 798 831.

1300 798 831

Alternatively contact us using this form.

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Alexandra Headland, QLD 4572