medicare_levy {grattan}

Medicare levy

Description

The (actual) amount payable for the Medicare levy.

Usage

medicare_levy(
  income,
  fy.year = "2013-14",
  Spouse_income = 0L,
  sapto.eligible = FALSE,
  sato = NULL,
  pto = NULL,
  family_status = "individual",
  n_dependants = 0L,
  is_married = NULL,
  .checks = FALSE
)

Arguments

income

numeric(N)

The income for medicare levy purposes of the taxpayer.

fy.year

character(1) or character(N) or fy(N) or fy(1)

The tax year in which income was earned. A vector satisfying fy::validate_fys_permitted.

Spouse_income

numeric(1) or numeric(N)

The income of the taxpayer's spouse. Missing values are imputed to zeroes. Values are truncated to integer.

sapto.eligible

logical(1) or logical(N)

Is the taxpayer entitled to the SAPTO thresholds? Missing values are imputed to FALSE.

sato, pto

Is the taxpayer eligible for the Senior Australians Tax Offset or Pensions Tax Offset? pto = TRUE not supported and will be set to FALSE, with a warning.

family_status

(Deprecated: use 'is_married' and 'n_dependants' instead)

n_dependants

integer(N) or integer(1)

Number of dependants the taxpayer has. If nonzero, the taxpayer is entitled to the family thresholds of the Medicare levy, and each dependant child increases the thresholds.

is_married

logical(N)

Is the taxpayer married? Married individuals (or those whose Spouse_income > 0) are deemed to be families when determining cut-off thresholds.

.checks

Whether or not to perform checks on inputs.

Details

The Medicare levy for individuals is imposed by the Medicare Levy Act 1986 (Cth). The function only calculates the levy for individuals (not trusts). It includes the s 7 Levy in cases of small incomes, including the differences for those eligible for sapto. s 8 Amount of levy—person who has spouse or dependants (though the number of dependants is not a variable in the sample files).

The function does not include the Medicare levy surcharge; it assumes that all persons (who would potentially be liable for it) avoided it.

The Seniors and Pensioners Tax Offset was formed in 2012-13 as an amalgam of the Senior Australians Tax Offset and the Pensions Tax Offset. Medicare rates before 2012-13 were different based on these offsets. For most taxpayers, eligibility would be based on whether your age is over the pension age (currently 65). If sato and pto are NULL, sapto.eligible stands for eligibility for the sato and not pto. If sato or pto are not NULL for such years, only sato is currently considered. Supplying pto independently is currently a warning.

See http://classic.austlii.edu.au/au/legis/cth/consol_act/mla1986131/ for the Medicare Levy Act 1986 (Cth).

Value

The Medicare levy payable for that taxpayer.