Medicare levy reduction for low-income earners

 

Medicare levy reduction for low-income earners

 

Your Medicare levy is reduced if your taxable income is below a certain threshold. In some cases, you may not have to pay the levy at all.

 

The thresholds are higher for low-income earners, seniors, and pensioners. If your taxable income is above the thresholds, you may still qualify for a reduction based on your family taxable income.

 

In 2019–20, you do not have to pay the Medicare levy if you are single and your taxable income is equal to or less than $22,801 ($36,056 for seniors and pensioners entitled to the seniors and pensioners tax offset).

 

You will pay only part of the Medicare levy if you are single and your taxable income is between $22,801 and $28,501 ($36,056 and $45,069 for seniors and pensioners entitled to the seniors and pensioners tax offset).

 

You may still qualify for a reduction based on your family taxable income.

 

If you do not qualify for a reduction in the Medicare levy, you may still qualify for a Medicare levy exemption.

 

Contact Expert Tax on 0449 952 855 or 1300 869 829 for assistance on tax related matters.