Thursday, 8 February 2024


Questions without notice and ministers statements

Payroll tax


Brad ROWSWELL, Tim PALLAS

Payroll tax

Brad ROWSWELL (Sandringham) (14:20): My question is to the Treasurer. The Treasurer’s leaked letter to the federal Labor health minister accused him of making comments in relation to the government’s unfair health tax that are ‘likely to mislead practice owners, doctors and patients’. Why is this government trying to blame federal Labor instead of just axing its unfair health tax?

Tim PALLAS (Werribee – Treasurer, Minister for Industrial Relations, Minister for Economic Growth) (14:21): I would like to thank the member for Sandringham for his question. I have been waiting with trepidation for a question from the opposition on this. It has become Orwellian the way that the opposition have now branded our stamp duty arrangements as a health tax. That health tax – our payroll tax arrangements – has effectively been the same since they were last in government, unchanged since 2007. Might I also state the fact that there are 350 GP clinics in this state that pay payroll tax and have been for many years. And why is that? Because every taxpayer that meets the requirements of employment or employment-like activities needs to pay their share. If they do not, then everybody else has to pick up the burden that is created. We are very clear in our position when advocating for the state of Victoria and Victorians. We said to the Commonwealth that our view is that they need to attend to their primary responsibilities around primary health care. We will always stand up for Victorians, because they are our boss. We know who those opposite answer to: their wholly owned subsidiaries of their National–Liberal party mates in Canberra – all the way.

James Newbury: On a point of order, Speaker, standing order 58: the Treasurer is debating the question.

The SPEAKER: I ask the Treasurer to come back to the question.

Tim PALLAS: Victorians’ taxes contribute to the capacity of this state to provide the services that Victorians need and in fact deserve. We put $130 billion into our healthcare system, growing it. We saw something like $50 billion taken out of the federal system – cut by a conservative government – and those opposite remained silent. The champions of GPs remained silent while the healthcare system was laid to waste by their federal counterparts.

Can I be very clear as a government that every taxpayer, every employer, has an obligation to comply with the law. The law has not been changed, and questions in this place have to be factually correct. The law has not changed. I say that to this Parliament fully apprised of my responsibilities to be honest. Unfortunately those opposite do not see the truth and facts as being a relevant consideration when they come into this place and parade around trying to pretend that –

James Newbury: On a point of order, Speaker, standing order 118: imputations are unparliamentary.

The SPEAKER: There is no point of order this time, but I do ask the Treasurer to be careful in the way he is responding to questions.

Tim PALLAS: We continue to work with the GP community and their representatives, and we will continue to look at them sympathetically should they have substantive issues they would like to raise. One GP clinic has approached us seeking support, and they are getting just that.

Brad ROWSWELL (Sandringham) (14:25): The New South Wales Labor Premier said just yesterday that GPs take pressure off our public hospital system ‘and that’s not going to be the case if we whack them with a massive new tax’. Why won’t the government follow the lead of other state Labor governments and abolish their unfair health tax?

Tim Pallas: On a point of order, Speaker, this is the second time the member for Sandringham has talked about a health tax. Questions in this place must be factually correct, and I think it is about time we bell the cat. It is just dishonest for those opposite to frame a question in those terms.

The SPEAKER: It is not for me to determine the truth or otherwise of questions, but I do ask the Treasurer, if he is going to respond, to respond to the question.

Tim PALLAS (Werribee – Treasurer, Minister for Industrial Relations, Minister for Economic Growth) (14:26): As a government we recognise that GPs preform a vital service for our community. They are the front line of primary care. Might I also say that we have seen bulk-billing reduce in this state over the last 18 months from about 24 per cent of GP clinics down to 12. What we have seen is that the state government have stepped up to the plate, with $52 million for 29 primary care facilities. We have made a contribution in order to fill the gap in terms of primary health care that was laid waste by a Liberal–National party government – over 10 years of malfeasance and quite frankly selling out the interests of sick and needy Victorians. We will continue to stand up for our primary healthcare providers. We will continue to provide the support that is necessary to deal with the pressure therefore put onto our emergency hospital system as well. (Time expired)