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Is it possible to get low income card?

Discussion in 'General Property Chat' started by BallonTree, 7th Jun, 2016.

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  1. BallonTree

    BallonTree Active Member

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    Is it possible to get low income card?

    With a few negative gearing properties and out of job?
     
  2. legallyblonde

    legallyblonde Well-Known Member

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    Apply. . It is the only way to know for sure...
     
  3. Jerry O

    Jerry O Well-Known Member Premium Member

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    hey mate,

    Is this what you are after? Eligibility for Low Income Health Care Card?

    Im sorry if that is not what you are after. But if it is, then i would assume you will have to be out of job for an x amount of time given that you have assets but negatively geared.
     
  4. BallonTree

    BallonTree Active Member

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    Yes, out of job for quite some time (medical reasons), and assets are negatively geared. And with expenses.

    Would they ask you to sell one of your properties to use the gain on the property before applying?
     
    Last edited: 7th Jun, 2016
  5. hash_investor

    hash_investor Well-Known Member

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    You really need to talk to a center link expert. I personally don't know where to find them but I believe some legal experts do that. They will tell you how to maximize your center link payments in case of medical disability etc.
     
  6. Jerry O

    Jerry O Well-Known Member Premium Member

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    I really don't know how to answer that to be honest.. best to call centrelink direct about this and lay out this scenario. I believe they don't have the right to demand an asset to be sold for these reasons solely. But I could be wrong. Also try ringing compensation lawyers and just have a quick chat about this if its under their field of expertise. Again, this is purely based on my assumptions. Sorry couldn't be of much help.
     
  7. legallyblonde

    legallyblonde Well-Known Member

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    No. The card is income tested.. not asset tested
     
  8. Chrispy

    Chrispy Well-Known Member Premium Member

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    As Legally Blonde said it is Income tested...assets are not even recorded. You can apply online
     
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  9. BallonTree

    BallonTree Active Member

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    Rental income from property is considered income.

    In the forms, they only asked for the rental income, they didn't ask for the expenses associated with it. So on paper (without negative gearing), my income is a lot, but in reality....................
     
  10. Chrispy

    Chrispy Well-Known Member Premium Member

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    Ballon Tree ... they need your Tax Return Assessment.

    It is your net income.

    Do you have your Assessment.? that is what is used to assess your income for the Health Care Card.
     
  11. BallonTree

    BallonTree Active Member

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    Oh!! Thanks! I'll do it right away!
     
  12. Joynz

    Joynz Well-Known Member

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    A few pages in it says it is gross income:

    'Your Low Income Health Care Card is assessed on gross income for the 8 week period ending on the day you submit your claim.

    Qualifying
    To qualify for a Low Income Health Care Card your income must be below the limit that applies to you. The 8 week period ends on the day you lodge your claim.'

    There is an income table - e.g. Eligible if income is under $536 dollars if you are single no kids etc
     
  13. Chrispy

    Chrispy Well-Known Member Premium Member

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    I had to supply my Tax Assessment and it was granted in a week. I also attached a copy of the Tax Return
     
  14. hash_investor

    hash_investor Well-Known Member

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    To me it is unbelievable. You could be right about tax assessment notice but in that case its a big loophole. Someone with 100K income and cash flow neutral properties can reduce their taxable income using depreciation and then be eligible for healthcare card?

    P:S: Not hijacking the original thread by OP.
     
  15. mrdobalina

    mrdobalina Well-Known Member

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    Sounds great. Think I'll apply for one
     
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  16. Chrispy

    Chrispy Well-Known Member Premium Member

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    Previously my prescriptions cost $300+ per month, now with the Health Care Card they cost around $30. I have to re-apply each year. Last year was the first year I was able to apply as I had not sold any properties and had vacant rentals. I will probably lose it this year as rentals have been let all year and I have not done much in the way of renovating. Also I used to get a decent amount from Bank Interest but that is no longer.
     
  17. hash_investor

    hash_investor Well-Known Member

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    Do you get centerlink payments as well based on assessable income?

    Sorry if that is a rude question I am not asking about yourself... just hypothetically I want to know the rules.
     
  18. Sonamic

    Sonamic Well-Known Member

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    I don't see how this is different to everybody complaining about how elderly on the Aged Pension and living in mansions should be Reverse Mortgaging their homes to stop Welfare Dependancy.
    Go for gold.
     
  19. Waldo

    Waldo Well-Known Member

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    If you are likely to be out of a job for an extended period of time, do you really want to keep holding a negatively geared property? If you're going to have to sell it eventually, would you be better off doing it sooner rather than later (plus it will be on your terms, not the banks)?
     
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  20. Chrispy

    Chrispy Well-Known Member Premium Member

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    No I do not qualify for Centrelink payments. That is based on asset and income. I do not have a Trust Account or Super account. I know of many friends who get defined benefit super and still are able to qualify for centrelink part pension.