Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p2
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 2/10)
Character Range: 1464062–1466595

What this Subdivision is about
      You can choose to claim a tax offset for a premium, or an amount in respect of a premium, paid under a private health insurance policy instead of having the premium reduced under Division 23 of the Private Health Insurance Act 2007.

Table of sections

Operative provisions
61‑205 Entitlement to the private health insurance tax offset
61‑210 Amount of the private health insurance tax offset
61‑215 Reallocation of the private health insurance tax offset between spouses

Operative provisions

61‑205  Entitlement to the private health insurance tax offset
 (1) You are entitled to a *tax offset for the 2012‑13 income year or a later income year if:
 (a) a premium, or an amount in respect of a premium, was paid by you or another entity during the income year under a *complying health insurance policy in respect of a period (the premium period); and
 (b) you are a *PHIIB in respect of the premium or amount; and
 (c) each person insured under the policy during the premium period is, for the whole of the time that he or she is insured under the policy during the premium period:
 (i) an eligible person (within the meaning of section 3 of the Health Insurance Act 1973); or
 (ii) treated as such because of section 6, 6A or 7 of that Act.
 (2) You are also entitled to the *tax offset if:
 (a) you are a trustee who is liable to be assessed under section 98 of the Income Tax Assessment Act 1936 in respect of a share of the net income of a trust estate; and
 (b) the beneficiary who is presently entitled to the share of the income of the trust estate would be entitled to the tax offset because of subsection (1).

61‑210  Amount of the private health insurance tax offset
 (1) The amount of the *tax offset is your *share of the PHII benefit in respect of the premium or amount.

Reduction because PHII benefit received in another form
 (2) Subsections (3), (4) and (5) apply if the amount of the premium was reduced because of the operation or purported operation of Division 23 of the Private Health Insurance Act 2007.
 (3) Divide the total of the reduction by the number of persons who are *PHIIBs in respect of the premium or amount.
 (4) Reduce your *tax offset under subsection (1) to nil if the amount worked out under subsection (3) equals or exceeds your *share of the PHII benefit in respect of the premium or amount.
Note: If the amount worked out under subsection (3) exceeds your share of the PHII benefit, you are liable to pay the excess to the Commonwealth. See section