The thresholds for the Medicare Levy Surcharge (MLS) have changed for the 2009 and future tax years.
You will be charged a surcharge if you are;
- an individual earning more than $70,000 year in Taxable Income; or
- a couple earning more than $140,000 a year in Taxable Income.
It should be noted that FROM 1 JULY 2009 your Income For Surcharge Purposes will change. These changes will add back any investment losses you have incurred and will add on reportable superannuation contributions (typically salary sacrifice amounts made to super above the compulsory 9% employer contribution) for calculating if you breach the threshold. These changes are a result of the new changes to income tests.
This may mean you may breach the thresholds from the 2010 financial year onwards if you don’t have the required level of private health insurance.