From 1 July 2012, the Government introduced three new “Private Health Insurance Tiers”.
Private Health fund members will no longer be guaranteed the minimum 30% rebate. In addition, the Medicare Levy Surcharge will also be progressively increased based on annual income levels.
HEALTH INSURANEC REBATE TIERS (from 1 July 2013)
| TIER | ||||
|---|---|---|---|---|
| Unchanged | Tier 1 | Tier 2 | Tier 3 | |
| Singles | $0 – $88,000 | $88,001 – $102,000 | 102,001 – $136,000 | $136,001 + |
| Couples or Families | $0 – $176,000 | $176,001 – $204,000 | $204,001 – $272,000 | $272,001 + |
| REBATE | ||||
|---|---|---|---|---|
| < age 65 | 30% | 20% | 10% | 0% |
| Age 65 – 69 | 35% | 25% | 15% | 0% |
| Age 70 + | 40% | 30% | 20% | 0% |
| MEDICARE LEVY SURCHARGE | ||||
|---|---|---|---|---|
| All Ages | 0% | 1% | 1.25% | 1.5% |
If you choose the wrong rebate level, any rebate amount either due to you as a refund or required to be repaid to the Government will be calculated with the lodgement of your income tax return and settled at that time.
Your Private health insurer will give you a statement at the end of the financial year to help you complete your tax return.
