PHI 21/13

This circular issued by the Private Health Insurance Branch contains information about the Private Health Insurance Rebate and Medicare Levy Surcharge

Page last updated: 16 April 2013

Printable version of 21/13 (PDF 164 KB)

16 April 2013

Private Health Insurance Rebate and Medicare Levy Surcharge Income Thresholds for 2013-14

The income thresholds for the Australian Government Rebate on private health insurance (Rebate) and the Medicare levy surcharge (MLS) are indexed annually in accordance with section 22(35) of the Private Health Insurance Act 2007 and sections 3(1) of the Medicare Levy Act 1986 and A New Tax System (Medicare Levy Surcharge – Fringe Benefits) Act 1999.

The Australian Taxation Office (ATO) has advised that for the 2013-14 income/tax year the income thresholds are as follows:
UnchangedTier 1Tier 2Tier 3
Singles≤$88,000$88,001 - 102,000$102,001 - 136,000≥$136,001
Families≤176,000$176,001 - 204,000$204,001 - 272,000≥$272,001


UnchangedTier 1Tier 2Tier 3
<Age 6530%20%10%0%
Age 65-6935%25%15%0%
Age 70+40%30%20%0%

Medicare Levy Surcharge

UnchangedTier 1Tier 2Tier 3
All ages0.0%1.0%1.25%1.5%
Note: The thresholds increase annually, based on growth in Average Weekly Ordinary Time Earnings. Single parents and couples (including de facto couples) are subject to the family tiers. For families with children, the thresholds are increased by $1,500 for each child after the first.

Enquires by insurers on the claiming of the Rebate should be referred to the Department of Human Services on 1300 554 463.

Enquires by insurers on the MLS should be referred to the ATO helpline on 13 2861.

This circular supercedes threshold information provided in PHI Circular 14/12 (released on 17 March 2012).

If you require further information please telephone: (02) 6289 9853/24 hr answering machine or email the enquiry to Private Health Insurance Branch

For more information visit 2013 Private Health Insurance (PHI) Circulars.

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