The Greens have a new plan to raise money through Medicare by charging high-income workers hundreds of dollars extra for the public health service.
Greens leader Richard Di Natale, told the Sydney Morning Herald private health insurance was a “waste of money” and that his party’s plan would generate an extra $13 million for the health budget.
Under the Greens’ plan, single taxpayers who earn more than $90,000 a year would pay an extra $900 a year, while families on more than $180,000 would have to fork out an extra $2400, regardless of whether or not they pay for private health cover.
“Giving a big tax break to high income earners who take out private health insurance doesn’t take the pressure off the public hospital system and forces people to buy a product many don’t want or need,” he told SMH.
“The Greens will remove this exemption from the MLS and reinvest the $13b in taxpayer money into the public health system to reduce hospital waiting lists and provide Medicare funded dental care.”
As it stands, high-income workers who do not have private health cover pay 1 per cent to 1.5 per cent extra for Medicare every year under the Medicare Surcharge Levy.
If the Greens’ proposal is successful, these taxpayers will have to pay even more, even if they do have private health.
With the May budget fast approaching, federal treasurer Scott Morrison has indicated the government will remove the Medicare rebate freeze to ease the pressure on doctors and patients alike.
There is also speculation the government will raise the Medicare levy overall, meaning everyone will pay more come tax time.