From July next year, the levy will rise by 0.5 percentage points to 2 per cent, which is expected to raise $11 billion for the scheme over four years.
The bill was introduced into the House of Representatives this morning and has passed with bipartisan support.
It will now be considered by the Senate.
Opposition families spokesman Kevin Andrews has told Parliament the Coalition is hoping it will not be a permanent measure.
"Although this legislation will pass with our support, we view the levy increase as only a temporary measure until the budget has been repaired and is in a strong surplus," he said.
In an emotional speech, Julia Gillard spoke of some of the people with disabilities she had recently met.
She said they would finally have "security and dignity" with the introduction of the DisabilityCare scheme.
"In March, we gave it a place in our nation's laws. Today we inscribe it in our nation's finances," she said.
"DisabilityCare Australia starts in seven weeks - and there will be no turning back."
What is the NDIS?
- The scheme will support more than 400,000 Australians with a disability, their families and carers
- It will help pay for carers, to give parents of children with a disability a break
- It will help pay for new wheelchairs tailored to individual needs
- It will fund home modifications to help people with a disability move around easier
- It will fund early intervention services children, like physiotherapy and speech pathology
- The increase to the Medicare levy equates to an extra dollar a day for an average income earner
- The change would collect $20 billion in its first five years
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