Results 1 to 2 of 2

Thread: Medical aid paid for parents

  1. #1
    New Member
    Join Date
    Jan 2018
    Location
    Durban
    Posts
    1
    Thanks
    0
    Thanked 0 Times in 0 Posts

    Medical aid paid for parents

    Greetings,

    Two sibling pay 50% each of the medical aid contributions for parents. The total amount comes out of one siblings account and the other reimburses the amount with cash. Are both allowed to claim part of the medical tax credits?

    Also, must there be a bank transaction in order to claim and what proof would SARS require.

  2. #2
    Junior Member
    Join Date
    Aug 2013
    Location
    Roodepoort
    Posts
    11
    Thanks
    1
    Thanked 0 Times in 0 Posts
    The simple answer, assuming each sibling earns exactly the same Cost To Company salary and Nett-taxable earnings before medical expenses deductions:
    I suggest that you contact the medical aid
    1. and ask them to split the monthly contribution between the two bank accounts 50/50
    OR
    2. every year in September and change the banking details from the one sibling to the other for the contributions

    Either way, each of you will have bank statements that proves that you paid half of the annual contributions.

    The more complex answer if you are willing to put in the work:
    Assess each sibling income and allowable deductions
    Then see which sibling will get the biggest benefit (biggest reduction in tax payable) from claiming these contributions
    Taking into account that calculating the allowed deductions for medical expenses is probably one of the most complex calculations on your tax return.
    Then you just split the refund for these contributions once sars pays you

    Assuming that you are trying to get the most money back from SARS and that you are both willing to share your salary details with each other

Similar Threads

  1. [Question] DOCTORS FEES NOT PAID IN FULL BY MEDICAL AID
    By JOHAN COETZER in forum Consumer Protection Act Forum
    Replies: 3
    Last Post: 26-Nov-15, 05:47 AM
  2. working hours, overtime paid - not paid? complicated?????
    By tinajacobs in forum Labour Relations and Legislation Forum
    Replies: 1
    Last Post: 15-Aug-14, 07:42 PM
  3. Looking for South African parents (school research)
    By hugozijlstra in forum General Chat Forum
    Replies: 6
    Last Post: 22-Sep-13, 06:38 PM
  4. [Question] Medical Aid Paid to Employee as Allowance
    By Subram in forum Tax Forum
    Replies: 2
    Last Post: 30-Oct-12, 06:46 AM
  5. [Question] Medical expenses paid on behalf of an employee of a cc
    By Imp in forum Tax Forum
    Replies: 1
    Last Post: 30-May-12, 12:28 PM

Tags for this Thread

Did you like this article? Share it with your favourite social network.

Did you like this article? Share it with your favourite social network.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •