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Newinvest(Newbie)Newbie
25 Sept 2023

Hi,

Doing my tax return I notice that only income tax was deducted from my wages throughout the year. So, having done my tax return I now have a bill to pay, that being the 2% medicare levy.

I was under the impression that the employer (which in this case is the Government) would deduct the predicted 2% each pay cycle. Is this correct, or is it the case for everyone that they have the 2% bill to pay at the end of the year?

It seems odd as it guarantees that I will always have that bill this time of year (I appreciate that it can be paid in installments and will do so, but means an ongoing debt)

Thanks

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3,012 views
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JacobATO(Community Support)Community Support
26 Sept 2023

Hey @Newinvest


That’s interesting. It would be best to speak with your employer to ensure they are withholding the correct amount of tax from your pay. This is most likely due to how your TFN declaration was completed when you started working. 

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Most helpful reply

JacobATO(Community Support)Community Support
26 Sept 2023

Hey @Newinvest


That’s interesting. It would be best to speak with your employer to ensure they are withholding the correct amount of tax from your pay. This is most likely due to how your TFN declaration was completed when you started working. 

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Medicare levy was not deducted from my wages throughout the year. Is this common or an error? | ATO Community