24th Feb 2010, 12:30 PM – Senate Fairer Private Health Insurance Incentives (Medicare Levy Surcharge) Bill 2009 [No. 2] and Fairer Private Health Insurance Incentives (Medicare Levy Surcharge - Fringe Benefits)...

The majority voted against a motion introduced by Greens Senator Rachel Siewert, which means that it was unsuccessful. The motion would have amended the original motion "That these bills be now read a second time" with the following:

At the end of the motion, add: and the Senate calls on the Government to invest the full amount raised by the Medicare Levy Surcharge (approximately $145 million over 4 years) into mental health programs: (a) Communities of Youth, Mental Health ($30m p.a.) proposed by National Health and Hospitals Reform Commission (NHHRC); (b) Headspace (30 new services at $1m p.a. or $30m); (c) Early psychosis prevention and intervention services ($26m p.a.); and (d) Lifeline suicide hospital discharge and treatment plan ($15.39m as a total package over three years) and a new Lifeline freecall number ($17.5m p.a.).

Background to the bills

The Fairer Private Health Insurance Incentives (Medicare Levy Surcharge) Bill 2009 (No. 2) and the Fairer Private Health Insurance Incentives (Medicare Levy Surcharge — Fringe Benefits) Bill 2009 (No. 2) were introduced as part of a package of three bills along with the Fairer Private Health Insurance Incentives Bill 2009 (No. 2). The bills create three private health insurance tiers in order to increase the rate of Medicare levy surcharge for taxpayers who do not have complying health insurance and whose income (including reportable fringe benefits) for surcharge purposes is above the relevant Medicare levy surcharge threshold.