The Medicare Levy Surcharge is a 1% surcharge imposed on people who earn above a certain level of income and who do not have private hospital cover. This is in addition to the standard Medicare Levy of 1.5%. With any Health Partners hospital cover you will avoid paying the Medicare Levy Surcharge. However if you choose not to join, or if you
do not have private hospital cover or have suspended your cover to travel, you must pay the Medicare Levy Surcharge if:
- you are single and have an annual taxable income in 2011-2012 of more than $80,000 or
- your and your partner's combined annual taxable income in 2011-2012 is more than $160,000.
The Medicare Levy Surcharge income threshold increases by $1,500 per child, after the first child.
Not adding a dependant/newborn to your cover could incur the Medicare Levy Surcharge.
The Medicare Levy Surcharge thresholds are indexed annually and are subject to change as determined by the Federal Government. For more detailed information on the 1% Medicare Levy Surcharge, including when the levy applies and surcharge thresholds, please visit the Department of Health and Ageing or call the ATO on 13 28 61. |