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The Medicare Levy Surcharge works like an additional tax and applies to Australian residents for taxation purposes who are high income earners and don't have an appropriate level of hospital cover.he Medicare Levy Surcharge works like an additional tax and applies to Australian residents for taxation purposes who are high income earners and don't have an appropriate level of hospital cover.
The tax levy requires the employer to deduct a certain amount from the employee s wages until the levy is released. The IRS normally allows a certain exemption for living expenses and takes every thing in excess of the exemption.ump sum benefit payments are also subject to the tax levy. The best way to deal with this issue is to not fall behind in your tax payments, of course, because the tax levy payroll deductions can be ruinous to your financial situation.