The court case that threatens to unleash a payroll tax grab

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The court case that threatens to unleash a payroll tax grab
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A challenge to moves by states to impose payroll tax on medical centre operators could turbocharge a growing revenue grab by governments around the country.

State governments are preparing to turbocharge a payroll tax revenue grab, pending the outcome of a closely watched legal appeal against moves to crack down on employment arrangements of healthcare providers.

The Australian Medical Association estimates 81 per cent of general practices in the state will be affected.The case that underpins the move is set to be considered by the full bench of the NSW Court of Appeal on Friday. The challenge by Thomas and Naaz, a large private medical centre operator, against Revenue NSW is being closely watched by state governments.said payroll tax was nationally harmonised and the Queensland move was likely to be followed in most jurisdictions.

“In my view, under a typical agreement between a clinic operator and a healthcare professional, no services are supplied to the clinic operator,” Mr Cridland said.

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