One of my staff members wasnt charged the medicare levy in her normal pay for FY23 by MYOB when I did the weekly payrun, however when she did her tax the ATO said that she had to pay medicare levy of 2% in her income. How do I know that medicare levy is charged on her weekly payroll and do I need to make any changes in the way she's setup?
Note : She was PT casual half of FY23 and become FT permanent the rest of FY23. Does this impact the calculations?
Hi, kushalw
Thanks for your post, and welcome to the MYOB Community Forum.
Regarding your concern, you can check the pay slip of each pay run you have processed to make sure the medicare levy has been charged to your employee and have it checked with your accountant, as this requires assistance from your accountant for more information.
Best regards,
Doreen
Hi Doreen,
Thank you so much for your reply. I just double-checked their pay slip and it doesn't look like medicare levy is charged on their payslip. How do I enable this within MYOB? My accountant also confirmed that MYOB has not deducted this when calculating the weekly payrun, hence why the employee had to pay the levy amount at the end of the FY with her tax return. Would appreciate to know how this can be enabled/added as a pay item within the system itself?
Hi, kushalw
You're very much welcome! Since you were able to check the previous pay runs to make sure if the employee was charged their Medicare levy and you can confirm that they're not, you can create a deduction for it. For more information on how to do this, kindly check out the Help Article: Deductions. However, we still recommend speaking with your accountant for further action.
Please let us know if you require further assistance.
Best regards,
Doreen
