The Albanese Labor Government must push back against Victoria’s GP payroll tax and save patients money, Shadow Assistant Minister for Regional Health and Member for Mallee Dr Anne Webster says.

Patients are facing fee hikes of 30 per cent under the Allan Labor Government’s payroll tax changes that subject doctors to a retrospective bill – in some cases millions of dollars. The tax would compromise regional Victorians’ access to healthcare if clinics were forced to close as a result.

“Victoria is broke and State Labor is looking for a tax grab that will put even more pressure on the healthcare system, especially in regional Victoria,” Dr Webster said. “In the end it is patients who will pay the price for Daniel Andrews’ legacy for the State’s budget.”

General practices already pay payroll tax on employees, including receptionists, nurses and training doctors. The tax hasn’t previously applied to GPs because most doctors are not employees – they lease rooms and work under independent agreements.

Federal Health Minister Mark Butler previously urged Victoria to review the payroll tax, warning it undermined Federal investments in Medicare.

“Minister Butler must back up his words with action and raise the problem of the payroll tax at the next Health Ministers Meeting,” Dr Webster said.

“State Labor’s changes make primary care less affordable, especially in the regions where fees are already higher on average than their Melbourne counterparts. It is totally unacceptable, the Federal Government needs to step up.”