Medical Expenses - Name on invoice

[hugo]

Hi Guys,

We moved our medical aid from my name to my wife's name in the beginning of 2010, so she has been paying the medical aid for this past tax year. The problem is most of the invoices we received during that year and are still receiving is in my name... can I put these expenses on her tax return with the medical aid?

Thanks for the advise!

[Justloadit]

When you are saying that the medical invoices are in your name, I am assuming that you or your wife paid for it, and not the medical aid. If the medical aid paid for them, then you can not claim from SARS, as this is the reason you pay medical aid. You can claim the amount paid to the medical aid on your form.

In the case that you have paid them personally, then rather claim on your personal tax. Even if married COP, you and your wife will still have to submit in your personal capacities when it comes to tax matters. SARS looks at each one individually, as opposed to years ago, where they joined you and your wife into one tax submission.

P.S. Keep copies of all invoices claimed, as SARS will request a copy, so ensure that when you claim the paid invoices, the name matches the submission form.

[hugo]

Thanks Justloadit, yes - sorry i should have said hospital plan. We paid the expenses i think of claiming.

My thinking is that these invoices are incorrectly addressed to me, as she is now the main member.
My understanding is that the tax benefit will be greater if I can claim all the expenses with the medical aid as that counts as well?

[geraldenek]

for the invoices that you paid:

when you take your wife’s income less expenses you get your taxable income take this amount and multiply it with 7.5% if the medical invoices is more than this amount then it will be a benefit otherwise they won't allow the deduction.

In most cases i have seen people do not get to that point where there medical expenses are more than 7.5% of their taxable income.

for future - just make sure if you are at the doctor to put it on the correct name.

[hugo]

Thanks Geraldene, so you are of the opinion that i can claim these on her name even if the invoices are on my name?

[geraldenek]

SARS does not mention in whose name the invoice should be - they state that:

Expenses paid in respect of medical services and prescribed medical supplies for yourself (this would be your wife), your spouse, your or
your spouse’s children or your dependants as described (qualifying medical expenses).

but it is better to have everything in one name all the bills and the patient can just be different on them.

[hugo]

Thanks again Geraldene, i will tally them up and see if it is worth while submitting it.