The Medicare Levy Surcharge is a Federal Government initiative levied on payers of Australian tax who do not have Private Hospital cover, and who earn above a certain income to encourage higher income earners to take out Private Hospital Health Insurance.
The Medicare Levy Surcharge is taxed at the rate of an extra 1% to 1.5% in tax if your income exceeds certain thresholds and you don’t have the appropriate level of Private Hospital cover.
Single parents and couples (including de facto couples) are subject to family tiers. For families with children, the thresholds are increased by $1,500 for each child after the first.
Source: Australian Tax Office. These thresholds apply to for the 2019/2020 financial year and increase annually
IF YOU’D PREFER PRIVATE HEALTH COVER INSTEAD OF PAYING EXTRA TAX – JUST CALL US 1300 788 282
l300 788 282
l300 788 282