Victorian Parties Clash Over Payroll Tax Relief for GP Clinics
02 Nov 2026
Victorian Health Minister Ingrid Stitt confirmed that Labor would not introduce a full payroll tax exemption for general practices during a health debate hosted by the RACGP and AMA Victoria.
With the state election approaching on 28 November, the issue was a key topic at the debate held at RACGP House on Saturday.
Minister Stitt said Labor had no plans to abolish payroll tax for GPs but remained committed to working with the health sector to support general practice services.
However, Shadow Health Minister Georgie Crozier reaffirmed the Coalition’s promise to remove the tax. She said the tax placed additional pressure on GP clinics and could affect the delivery of ongoing care to local communities.
The Victorian Greens also raised concerns about the tax. Health spokesperson Dr Sarah Mansfield said the current partial exemption, which depends on bulk-billing levels, was not a sustainable long-term solution for general practices.
One Nation candidate Colleen Harkin supported removing payroll tax for practices in regional areas. She said additional business costs were making it harder to maintain access to healthcare services, particularly outside major cities.
The debate also covered pharmacy prescribing. Dr Mansfield questioned whether the program had enough evidence to support its expansion, raising concerns about patient privacy, complex care and follow-up.
Ms Harkin said pharmacy prescribing could improve access to treatment for straightforward conditions, such as urinary tract infections, but stressed the importance of monitoring patient care.
Minister Stitt said the pharmacy prescribing program was operating at 900 locations, with training requirements and safety measures in place. She added that some services required pharmacies to share information with a patient's GP, while certain repeat prescriptions were limited to patients with an existing diagnosis.
Victorian Parties Clash Over Payroll Tax Relief for GP Clinics
Source: RACGP