Which statement is true about General Taxation Revenue in Medicare funding?

• A. It funds the entire program exclusively
• B. It is used in addition to the Medicare Levy because levy alone doesn't fund enough
• C. It funds cosmetic therapies
• D. It funds private hospitals only

Answer: (B)

Medicare in Australia is funded from two main sources: the Medicare Levy and general taxation revenue. The levy provides a portion of the funds, but it does not cover all costs. General taxation revenue is used in addition to the levy to fund the remainder, which is why the statement that general taxation revenue supplements the Medicare Levy is true.

Cosmetic therapies are not funded by Medicare, and private hospitals are generally funded through private health insurance and patient fees rather than general tax revenue. Public hospital services and medically necessary care are the areas Medicare supports.

So the correct idea is that general taxation revenue tops up the funding beyond what the Medicare Levy collects.