How much is the Medicare Levy Surcharge?

The Medicare Levy Surcharge is 1%, 1.25% or 1.5% depending on:

• your taxable income
• your total reportable fringe benefits
• any amount on which a family tax distribution has been paid.

The income thresholds for 2024-2025 are:

Singles

Single parents, Couples and Families*

*The family income threshold increases by $1,500 for each dependent child after the first child. However, if you have a partner for the full year, you do not have to pay the Medicare Levy Surcharge if your family income exceeds $194,000 (plus $1,500 for each dependent child after the first child) but your personal income for MLS purposes was $26,000 or less. Contact the ATO to find out more.

If you had a new partner or separated from your partner during the year:

• You may have to pay the Medicare Levy Surcharge for the number of days your personal income was more than the single person threshold of $97,000.
• You may have to pay the Medicare Levy Surcharge for the number of days you had a spouse or dependent children if your personal income was more than the family threshold of $194,000.

The Australian Taxation Office will work out whether you have to pay the Medicare Levy Surcharge based on the information you provide in your tax return.