Tax Authority Focus Area

Payroll Tax & Medical Practice Law

We are aware of the recent focus of Australian Tax Authorities (Federal and State) in relation to Tax Bills being sent to medical practices and businesses.

This is occurring predominantly due to Tax Authorities analysing business structures and determining that practitioners may be deemed employees rather than independent contractors for payroll tax purposes.

Concerned About Payroll Tax?

Call us

(08) 8523 3177

Email us

office@hamiltonbailey.com

Response time

Within 24 hours

Send Enquiry

Evidence Used by Tax Authorities

Common evidence examined during payroll tax audits includes:

Service Agreements

Lack of a valid and binding service agreement between parties

Operational Structure

Lack of appropriate operational independence and autonomy

Fee Arrangements

Lack of definite arm's-length fee structures

Branding & Identity

Inadequate separation of practitioner and practice branding

Control Indicators

Evidence of control over how, when, and where work is performed

Historical Patterns

Retrospective analysis of payment patterns and arrangements

Our Tenant-Doctor Service Agreements

We acknowledge the traditional service agreements drafted by law firms. However, we recognised that the traditional "one size fits all" approach no longer meets the evolving requirements of Tax Authorities.

Unlike traditional service agreements, our Tenant-Doctor Service Agreements continue to be updated and carefully curated to meet commercial and compliance requirements.

Key Differentiators

  • Neither employment nor contractor agreements - avoiding mischaracterisation
  • Capacity for convenient and cost-effective updates
  • Legal, accounting, and compliance changes incorporated
  • Technology platform enabled sign-off process
  • Annual subscription for ongoing compliance

Fee Structure

Our fees are based on a scale, subject to the number of Medical Practitioners requiring a Tenant-Doctor Service Agreement at a single location/Premises.

We have a reduced upfront cost for the first year, then in the second year onwards we charge a small annual subscription fee (payable monthly) which entitles your practice to receive updates.

Contact us for a quote based on your practice size and requirements.

Important Notice

For a Tenant-Doctor (or similar business structure) to maintain ongoing legal compliance, it has been deemed by relevant Authorities that an annual review is required. This is why we offer our subscription service.

Protect Your Practice from Payroll Tax Issues

Don't wait for an audit notice. Contact Hamilton Bailey to ensure your practice arrangements are compliant with current requirements.