Under the Federal Government's new legislation, people taking home at least $28,000 a year would face a half a per cent rise in the Medicare levy, starting in mid-2019.
The billions of extra dollars would go towards fully funding the National Disability Insurance Scheme, (NDIS) introduced in 2012 by former Labor prime minister Julia Gillard.
Treasurer Scott Morrison says the plan was inspired by his brother-in-law's battle with multiple sclerosis.
Accusing the Opposition of playing politics with Australians with disabilities, he has called on Labor to back the move.
