[Question] Other qualifying medical expenses

[Roger15]

Hi,

An individual wants to have cosmetic eye surgury to remove the need to wear glasses constantly. This operation will cost R20,000.00. He is on his wife's medical aid and the medical aid will not pay this as it is cosmetic expenditure. Can and will this be allowable other medical expenditure in SARS eyes which can be included in the medical section of the individual's income tax computation?

Thanks

[Mike C]

I would think so, althought I have no support for my supposition. Just because the Medical Aid does not pay it from their fund, does not make it any less a medical expense.

[Rafael]

As far as I am aware it is not allowable as it is cosmetic, just as you can't claim for breast augmentation.

[Mike C]

I know that I am going a bit off topic here, but can it really be defined as cosmetic?

Yes - the medical aid might prefer to pay for spectacles every year or two, but wouldn't it amount to a savings in the long run?

[Mike C]

Looks like Rafael is right.

Got this from a SARS document on claiming medical expenses:

The terms “necessarily incurred” and “in consequence of” are not defined in the Act. Therefore, they retain their ordinary dictionary meaning. “Necessary” is defined in the Concise Oxford Dictionary as “requiring to be done, essential,…needed for a purposes”. “Consequence” is defined in the same dictionary as “the result or effect of an action or a condition,.. as a result” This means that a prescribed expense does not automatically qualify as a deduction by mere reason of its listing. The expense must be necessary and incurred as a result of a physical impairment.
The term “physical impairment” is also not defined in the Act. However, in the context of section 18(1)(d) it has been interpreted as a disability that is less restraining than a “disability” as defined.

This means the restriction on the person’s ability to function or perform daily activities after maximum correction is less than a “moderate to severe limitation”. Maximum correction in this context means appropriate therapy, medication and use of devices.

You will be able to claim qualifying expenses under section 18 as a deduction from your income (inclusive of VAT) if you or your spouse or child or dependant has a physical impairment that is not a “disability” as defined. These qualifying expenses will, however, only be deductible to the extent that the amount exceeds 7.5% of your taxable income.
Physical impairments will, for example, include –
• bad eyesight;
• hearing problems;
• paralysis of a portion of the body; and
• brain dysfunctions such as dyslexia, hyperactivity or lack of concentration.

Diabetes and asthma is recognised as medical conditions and not a physical impairment..

[Roger15]

Surely if you can claim your glasses as a qualifying medical expense? You can claim going to see an optometrist?
It even says "bad eyesight" is a physical impairment.
So surely one can claim this as deductible to the extent that the amount exceeds 7.5% of ones taxable income?
Breast augmentation is not defined as a physical impairment as above.

[Rafael]

Its best if you call SARS on 0800 00 7277 and ask them.