The most up to date information for medical practitioners and other health professionals in relation to the GST can be found by following the link on the ATO website that takes you to the "Health Industry Partnership – Issues Register" at , http://ato.gov.au/businesses/content.asp?doc=/content/16768.htm
It is recommended that you access this link to check the full range of information on GST issues that may affect you practices.
Conduct Monies
GST is payable in almost all situations where conduct monies are paid to doctors -. The specific ATO advice states:
7.a.21. In view of "A New Tax System (Goods and Services Tax) (Exempt Taxes, Fees and Charges) Determination 2000 (No. 3)", in what circumstances would conduct monies payable to medical practitioners for production of documentation NOT incur GST?
Section 81-5 provides.........................Conduct monies payable to medical practitioners for production of documentation are not covered under the written determination. ....................................The A New Tax System (Goods and Services Tax) (Exempt Taxes, Fees and Charges) Determination 2000 (No. 3) can only ever relate to taxes and monies payable to Australian government agencies. As such, this determination will not apply to conduct monies payable to medical practitioners. Conduct monies payable to medical practitioners are not GST-free under any provision of the GST Act, including section 38-7.
The link to the ATO website with the above information is: http://ato.gov.au/businesses/content.asp?doc=/content/16768.htm&page=22 - P1593_267588 and the specific advice (quoted in part above) is the last question on that web page.
Workers Compensation
A detailed case study that illustrates the issue regarding GST and workers compensation can be found at: http://ato.gov.au/content.asp?doc=/content/18228.htm&placement=TR/IP/HTH&from=TR/BS