What is the medicare levy and how does it apply to me?
Normally, the ATO calculate your Medicare levy at the rate of 1.5% of your taxable income. However, this may vary according to your circumstances. You will have to pay the additional 1% surcharge for any period during 200506 that you or any of your dependants did not have private patient hospital cover and you were: • a single person with no dependants and had a taxable income for MLS purposes greater than $50,000, or • a member of a family and the combined taxable income for MLS purposes of you and your spouse (if you had one for the whole of 200506) was above the relevant family surcharge threshold.
