Tax concessions

A number of tax concessions are available for eligible older Australians:

• Senior Australians' Tax Offset
• Pensioner Tax Offset
• Medical Expenses Tax Offset
• Medicare Levy - Low Income Thresholds

Senior Australians' Tax Offset

The Senior Australians’ Tax Offset reduces the amount of tax you have to pay, provided you meet certain eligibility conditions. The tax offset allows you to earn more income before you pay tax and in some cases will result in no longer having to lodge a tax return.

Pensioner Tax Offset

The Pensioner Tax Offset may reduce the amount of tax you have to pay. The ATO website has a page that will help you calculate your pensioner tax offset, but you will first need to know your taxable income or loss.
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Medical Expenses Tax Offset

The Medical Expenses Tax Offset reduces the amount of tax that you have to pay. You may qualify for this if you have net qualifying medical expenses over $1,500. The tax offset is calculated as 20% of the excess of net medical expenses over the threshold of $1,500. Net medical expenses are the medical expenses you have paid less any refunds that you have received, or could receive, from Medicare or your private health fund.

Medicare Levy - Low Income Thresholds

Medicare Levy is not payable or may be reduced if your income is below certain thresholds. Different income limits apply for different groups of people, and for further information about specific amounts and levels of payment, the Australian Taxation Office has a specific location.