Hi all
I am doing my girlfriend's and my tax return.
Her gross income this year was
$51,000 (with no Medicare surcharge)
and mine was
$56,000 (with $560 for Medicare surcharge)We have been living together for over three years, so we qualify as "de facto". Would we benefit by declaring eachother's income in our tax returns? Would they average out our income so that it comes to $53,500 each? And then we would pay less in Medicare surcharge?
I hope this question is allowed here. If not, feel free to delete it
Hi Not so lucky..
In your case it will make absolutely no difference to the results of your tax return. Joint income is used for only a few calculations, medicare levy surcharge being one of them, but your both under the threshold for that whether you lodge as individuals or defacto.
Thanks for that Mr5o1.
Does that mean I should not have been charged $560 for Medicare surcharge?thats right.. currently, your not liable for the MC Levy Surcharge till your income is > $75k as an individual or joint income > $150k as a couple. in `08 and before the thresholds were $50k and $100k respectively.
Medicare Levy is a different storty, but the $560 amount looks like MCLS.
Thanks so much for that. I must have ticked something wrong when filling out my tax return. Will go over it tonight again. Luckily I hadn't submitted it yet
Yeah – you pay the 1.5% medicare levy – which is different to the medicare levy surcharge which is on top of that.
As per Mr5o1
Cheers
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