Medicare entitlement during period back in UK

[Dawnbeeston]

Hi there, wonder if someone can shed any light on this. My husband has been employed here and we will be returning to the uK in December. I assume the medicare levy is taken on an as earned basis and therefore once we submit his tax return for this financial year that will be taken account of. Question is do we leave medicare card sitting dormant on return back to UK? Also if we are not earning assume we do not have to pay the levy or private medical insurance? Thanks in advance

[blossom]

Bump

[Guest]

Are you returning to the UK permanently? Or at least for more than 3 months?

 

We returned to the UK in July 2013, when I did our 2013/2014 tax return there was no medicare levy as we were not resident in Australia for tax purposes.

 

I believe that is the key issue, if you are considered resident for tax purposes in Australia you pay for medicare. Obviously if the period out of Australia reduces his income to a level where he is consider to be on a low income for the tax year period than that impacts what will be paid and it is also likely you would get a tax rebate on tax paid on earned income.

 

If you currently have PHI leave it in place until the day you leave - we got stung by not having it for the last month - and then do not cancel it, suspend it - this way if you were to return to Australia you won't be hit for lifetime loading (assuming you are over 30 now or return after you are 30) as you can re0instate the PHI that you have previously paid. We were advised to keep copies of our boarding passes etc. to prove we were out of the country.