Tax and Structures

Individual taxation

Medicare Levy

The Medicare Levy is currently 2% on an individual’s taxable income and is generally payable in addition to the tax payable. 

The Medicare Levy is not payable in certain circumstances where income falls below the relevant income thresholds. 

From the 2022/23 financial year, the income threshold for individuals is $23,365 and for couples/families the combined income threshold is $39,402.

There is an additional amount of threshold for each dependent child or student, this amount is $3,619. 

Medicare levy is also not payable for any individual who is eligible for the Senior and Pensioner Tax Offset (SAPTO) and has taxable income below the relevant SAPTO low income threshold.