17 November 1999

Increase of Medicare Levy Low Income Thresholds

The Assistant Treasurer, Senator the Hon. Rod Kemp, today announced amendments to the income tax law to provide for increases to the Medicare levy low income thresholds in line with increases to CPI indexed thresholds in the taxation law.

The Government has decided that the Medicare levy low income threshold for individuals will be increased from $13,389 to $13,550 and the basic amount of the family income threshold will be increased from $22,594 to $22,865 with effect from the 1999-2000 year of income and later years of income. The announcement continues the Government’s practice in recent years of amending these thresholds each year in line with CPI increases.

A full list of the new thresholds is attached.

Legislation giving effect to these amendments will be introduced as soon as practicable.

CANBERRA
17 November, 1999

Media contacts: Phil Bignell Australian Taxation Office (02) 6216.1734
  Richard Allsop Assistant Treasurer’s Office

(03) 9650 7274

 

1999-2000 MEDICARE LEVY LOW INCOME EXEMPTION THRESHOLDS AND LEVY SHADING–IN RANGES

Category of taxpayer

No levy payable if taxable income or family income does not exceed (figure for 98-99)

Reduced levy if taxable income or family income is within range (inclusive)

Ordinary rate of levy payable where taxable income or family income exceeds (figure for 98-99)

Individual taxpayer

$13,550 ($13,389)

$13,551-$14,648

$14,648 ($14,474)

Married taxpayer* with the following children and/or students

      

0

$22,865 ($22,594)

$22,866-$24,718

$24,718 ($24,425)

1

$24,965 ($24,694)

$24,966-$26,989

$26,989 ($26,696)

2

$27,065 ($26,794)

$27,066-$29,259

$29,259 ($28,966)

3

$29,165 ($28,894)

$29,166-$31,529

$31,529 ($31,236)

4

$31,265 ($30,994)

$31,266-$33,799

$33,799 ($33,507)

5

$33,365 ($33,094)

$33,366-$36,070

$36,070 ($35,777)

6

$35,465** ($35,194)

$35,466**-$38,340***

$38,340*** ($38,047)

* The figures applicable to married taxpayers also apply to taxpayers who are entitled to a sole parent, child/housekeeper or housekeeper rebate

** Where there are more than 6 dependent children or students, add $2,100 for each extra child or student

*** Where there are more than 6 dependent children or students, add $2,270 for each child or student