Some general practices have started to hike appointment fees, claiming the newly applied payroll tax has forced the price rise.
Appointment fees at some clinics have increased by $2 and $5, both Chief Minister Andrew Barr and Health Minister Rachel Stephen-Smith have said.
The controversial application of the tax was debated again in the ACT Legislative Assembly as Opposition Leader Elizabeth Lee sought to exempt general practices from paying the tax.
Ms Lee's motion was unsuccessful. She had previously attempted to introduce a bill to the Assembly on the same matter but was blocked from debating this.
Historically, medical practices did not pay payroll tax for doctors as they were considered contractors. But this changed after the NSW Supreme Court ruled general practitioners were subject to payroll tax. The changes apply across the country.
The ACT government will exempt general practices from the tax for two years if they bulk bill 65 per cent of all services. Payroll tax is applied on businesses that have an annual payroll of more than $2 million, it is only applied on the wages paid over $2 million at a rate of 6.85 per cent.
Doctors have said a bulk billing rate of 65 per cent was not viable.
The Australian Medical Association said one-quarter of Canberra's general medical practices say they would consider closing if they are required to pay payroll tax to the ACT government. This was based on a survey of general practitioners.
Lobby groups have previously said this could result in an increase of up to $15 for each appointment if the payroll tax was applied. Mr Barr said this was based on calculations that payroll tax would be implemented on the first $2 million of wages.
Some practices have started to increase their fees but Ms Stephen-Smith said it had only risen by $5.
"Some practices indicate that they will be passing on between $2 and $5 really does indicate that the overblown rhetoric about the $15 to $20 increase in patient fees was completely wrong," she said.
The Health Minister was asked whether families would be able to afford the $5 increase.
"Those families and those individuals already can't afford the $90, $95, $100 that it costs for a standard consultation in the ACT, which is substantially more than the AMA recommended fee for a standard consultation," Ms Stephen-Smith said.
Ms Stephen-Smith said the Royal Australian College of General Practitioners told her they were most concerned about a retrospective application of payroll tax. The territory government will not chase any backpay from before June 30, 2023.
Ms Lee said the tax would have "a devastating impact on Canberrans ability to access essential health care".
"Many Canberrans are going to be slugged with increases in fees just to see their doctor," she said.
"This comes at a time when so many Canberrans are already hurting."
