29/05/2026
This one is for migrants on a temporary visa.
If you're claiming the Medicare levy exemption on your tax return but you've never applied for a Medicare Entitlement Statement — please read this.
Many migrants aren't entitled to Medicare benefits, so they're genuinely exempt from the 2% Medicare levy. That's correct. The problem is how it gets claimed.
A lot of accountants just tick the exemption and move on — no statement, no paperwork. It works… until the client gets a new visa, becomes eligible for Medicare, and the ATO goes back through old returns. They find an exemption with nothing to support it, amend the return, and charge the levy — sometimes years later.
The client was genuinely exempt the whole time. They just never got the letter to prove it.
Simple fix: from 1 July each year, apply for your Medicare Entitlement Statement through myGov. It can take up to 8 weeks, so don't leave it late. (And note — your spouse and dependants also need to be exempt, or you can't claim it.)
Not sure if this applies to you? That's exactly the kind of thing worth asking before you lodge.
More info: servicesaustralia.gov.au/medicare-entitlement-statement