All in Health Insurance And Tax
In this article we summarise the personal tax changes for 2017.
There are some small movements in the marginal tax rates for individual taxpayers:
In the run up to the 2016 Federal Election there are the perennial favourite issues rolled-out by the media and opposing political forces, everything from the very-fast-train (that is a very slow argument) to a second international airport in Sydney (oh, that’s proceeding) to the Government collecting more taxes via superannuation and bracket creep.
Fortunately living in the lucky and wealthy first world country of Australia means Australians don’t go to work for less than $7 an hour.
A year ago, in June 2012 there was a significant advantage for some very high income earners to pre-pay their health insurance premiums for the next 12-13 months (depending upon the health fund).
Getting sick may not longer be good tax planning
If you have the misfortune to have significant medical expenses during a tax year, the tax system has come to the rescue to provide you a tax offset (rebate) when you lodge your tax return.
Most people who have private health insurance only pay 70% of the premiums to their health fund, on account of the ‘private health insurance offset’ which is recovered by the health fund from the Government.