GP payroll tax, first homebuyer stamp duty scrapped

The Queensland government has scrapped a payroll tax set to be imposed on general practitioners. (Dan Himbrechts/AAP PHOTOS)

A tax purported to make GP visits cost more and a barrier to entering the housing market have been removed by a state government fulfilling more of its election promises.

The Liberal National government scrapped a "patient's tax" during the final Queensland parliament sitting on Thursday, a move it vowed to do after it won the October 26 election.

The payroll tax was set to be imposed on general practitioners, which the government claimed would make visiting a doctor more expensive, end bulk billing in Queensland, and make it harder to get an appointment.

It became a key feature of the election after a text message "mediscare" campaign from both the former Labor government and LNP.

Queensland Treasurer David Janetzki
Queensland Treasurer David Janetzki says axing taxes eased the cost of living for families.

By the end of the campaign, both sides had committed to scrapping the tax set to come into place at the end of the financial year following a delay.

A NSW tribunal ruled in 2021 that tenant GPs were subject to payroll tax as they were employees not contractors, sparking changes nationally.

The former Labor government struck an amnesty in 2023 meaning practices did not have to pay the tax until June 2025 or for the previous five years so the businesses could adjust before it came into effect.

Now, the proposed tax has been scrapped, which the LNP hails as a measure that will relieve pressure during the cost-of-living crisis.

“By axing Labor’s Patient’s Tax we are protecting bulk billing for Queenslanders and easing pressure on our Emergency Departments and easing cost of living for families," Treasurer David Janetzki said.

The Royal Australian College of General Practitioners Queensland branch welcomed the move to change the payroll tax for doctors.

“This will come as a big relief for practice owners, GPs and our patients who value the relationship they have with their GP highly – there is no substitute for the quality care you get from a specialist GP,” chair Dr Cath Hester said.

A vacant lot of land for sale
The government has removed stamp duty on new house and land packages for first-home buyers.

The government also removed stamp duty on new builds and land for eligible first-home buyers, another item on the LNP's post-election win to-do list.

Removing stamp duty on a new house and land package could mean a saving of $37,000 in Brisbane's north.

“Scrapping first home buyer stamp duty on new builds provides real savings and puts the Great Australian Dream back within reach,” Mr Janetzki said.

It comes as the government's centrepiece "adult crime, adult time" laws passed on Thursday, meaning kids as young as 10 will face life sentences on serious charges like murder.

Queensland Parliament will sit again in February.

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