What is the Medicare Levy?

The Medicare Levy is a tax you pay to help fund some of the cost of Australia’s public health system, known as Medicare.

Australians help pay for Medicare through 2 income taxes:

• Medicare Levy
• Medicare Levy Surcharge.

The Medicare Levy is 2% of your taxable income (in addition to the tax you pay on your taxable income).

Depending on you and your partner’s circumstances, you may get a reduction or exemption from paying it.

To calculate your Medicare Levy, you can use the Australian Taxation Office’s Medicare Levy Calculator.