Medicare Surcharge

James Murphy Tax

A client has a Medicare levy exemption for 339 days. Being a foreign resident and not entitled to Medicare.

His taxable income is $190,000 for the whole year. He has no private health insurance.

Is he liable for the Medicare levy surcharge?

Answer

If he is subject to the Medicare levy for only 26 days, the same should apply to the Medicare levy surcharge – it should be apportioned.