Income for Medicare levy surcharge purposes
Income for Medicare levy surcharge (MLS) purposes is used to work out whether you have to pay the MLS and the rate you will pay.
If you have a spouse, we will use your combined income for MLS purposes.
You can work out your income for MLS purposes with our Income tests calculator.
Your income for MLS purposes is the sum of the following items for you (and your spouse, if you have one):
- Taxable income
- include the net amount on which family trust distribution tax has been paid
- don't include any assessable first home super saver (FHSS) released amount for the income year under the FHSS scheme.
- Reportable fringe benefits.
- Total net investment losses – the sum of
- Reportable super contributions – the sum of
- If you have a spouse, their share of the net income of a trust on which the trustee must pay tax (under section 98 of the Income Tax Assessment Act 1936) and which hasn't been included in their taxable income.
If you had exempt foreign employment income, add it to your taxable income if your taxable income is $1 or more.
For 2023–24 and prior income years, if you meet both of the following conditions, you can reduce your income for MLS purposes by any taxed element of the super lump sum, other than a death benefit, that does not exceed your (or your spouse's) low rate cap:
- you (or your spouse) are aged from your (or their) preservation age to under 60 years old
- you (or your spouse) received a super lump sum.
Income thresholds and rates for 2011–12
|
Threshold |
2011–12 |
2011–12 |
|---|---|---|
|
Single thresholds |
$80,000 or less |
$80,001 or more |
|
Family thresholds |
$160,000 or less |
$160,001 or more |
|
Medicare levy surcharge |
0% |
1% |
The family income threshold is increased by $1,500 for each MLS dependent child after the first child.