Q: What is the Medicare Levy Surcharge?


The Medicare Levy Surcharge (MLS) encourages high income earners to take out private hospital cover, and where possible, to use the private system to reduce the demand on the public system.

Where high-income earners do not take out private health insurance, they are charged an additional 1% on their taxable income on top of the usual 1.5% Medicare Levy.

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