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MedicareLevy148(Initiate)Initiate
18 May 2024

I understand that the Medicare Levy is generally applicable above a certain income threshold if you do not have health insurance.


Having arrived and enrolled in Medicare in Australia in January, I am still waiting for my Medicare card and Lifetime Health Cover letter to arrive - owing to processing delays by Services Australia.


They have advised that the Medicare enrolment will be back-dated to January when it does arrive.


However, without the card and letter I have been unable to enrol in private health. I tried three major carriers - none would take you at your word that enrolment was processing…


Will incur the levy for the Jan-May period while I was waiting on Services Australia and therefore the lack of health insurance was outside of my control?

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Taxduck(Taxicorn)Taxicorn
19 May 2024

Every taxpayer (except low income earners and exempt taxpayers) pay the Medicare levy (2%). Private health insurance doesn't change this. You may be referring to the Medicare levy surcharge.

If your income is above the Medicare levy surcharge threshold then you will pay the surcharge if you don't hold appropriate private patient hospital insurance.

https://www.ato.gov.au/individuals-and-families/medicare-and-private-health-insurance/medicare-levy-surcharge/paying-the-medicare-levy-surcharge/appropriate-level-of-private-patient-hospital-cover

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Most helpful reply

Taxduck(Taxicorn)Taxicorn
19 May 2024

Every taxpayer (except low income earners and exempt taxpayers) pay the Medicare levy (2%). Private health insurance doesn't change this. You may be referring to the Medicare levy surcharge.

If your income is above the Medicare levy surcharge threshold then you will pay the surcharge if you don't hold appropriate private patient hospital insurance.

https://www.ato.gov.au/individuals-and-families/medicare-and-private-health-insurance/medicare-levy-surcharge/paying-the-medicare-levy-surcharge/appropriate-level-of-private-patient-hospital-cover

MedicareLevy148(Initiate)Initiate
25 July 2024

Apologies, yes I meant the levy surcharge.


if I’m reading the guidance correctly then - I will incur a surcharge even though there was literally no way of avoiding because the government took months to process my Medicare application.


Is there a way to appeal this? Seems I am being penalised for something out of my control?

ZiadATO(Community Support)Community Support
26 July 2024

Hi @MedicareLevy148


Let me try simplify it for you.

If your income is above a certain threshold then you have to pay the surcharge.

You can get a Medicare entitlement statement that would make you exempt from paying for the period that you didn't have Medicare, otherwise, you have to pay.


Check out this link which talks about MLS.

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Will I have to pay the Medicare Levy ehile waiting for Medicare enrolment? | ATO Community