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saeideh(I'm new)I'm new
19 Aug 2025

My husband and I have been paying medicare levy surcharge for years while holding private hospital cover as well.

I recently found out that our income levels were incorrect on our health provider and therefore we have been charged medicare levy surcharge at tax return time.


we did not know that we have to update our salary levels with the private health insurance and over the years with promotions our salary levels have gone up and we never updated it with the private health insurance.


we always used the same tax agent to help us with our tax returns.


My question is : should my tax agent have advised us that our salary levels should be updated with private insurance to avoid paying medicare levy at tax time?


Thanks

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213 views
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YellowPotato(Taxicorn)Taxicorn
19 Aug 2025

If you're absolutely sure that it's MLS you are paying (ML is paid regardless of PHI, there's reduction for low income earners/family), then the tax agent should have mentioned something since it might be in your interest to adjust the PHI/hospital cover to prevent surcharge. Though whether they have to, i'm not too sure.


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