Adjustable taxable income for the Commonwealth Seniors Health Card
The Commonwealth Seniors Health Card is subject to an adjusted taxable income test. There is no assets test.
Taxable income
This is income that you would pay tax to the Australian Government on, for example bank interest and earnings. Although you may not be required to lodge a tax return due to the level of your income, you may still have taxable income.
Foreign income
This is income from overseas that you do not pay Australian income tax on.
Total net investment losses
Total net investment losses are the sum of net losses from rental property income plus net losses from financial investment income. The losses will be added back on to adjusted taxable income.
A net loss from rental property income is the amount by which the expenses of owning the property (such as mortgage interest payments and maintenance costs) exceed the gross rental income from it.
A net loss from financial investment income is the amount by which the expenses of owning the investment (such as interest payments on the money lent to purchase the investments) exceed the income that the investments are earning. Such investments are often referred to as 'negatively geared'.
Employer-provided benefits
Employer-provided benefits that are taken into account for the Commonwealth Seniors Health Card include benefits such as cars, school fees, loans, housing, and health insurance. Employer provided benefits in excess of $1000 form part of a person's adjusted taxable income.
Reportable superannuation contributions
Reportable superannuation contributions are discretionary or voluntary contributions. They can also be referred to as 'concessional' or 'before-tax contributions'. They include:
- reportable employer superannuation contributions, such as voluntary salary-sacrificed contributions, which are additional to those required by law, and
- personal deductible superannuation contributions, if they can be claimed as a tax deduction on a personal tax return
Post-tax contributions to superannuation are not reportable superannuation contributions.