Tax repayment on health expenses

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A Repayment of Tax may be claimed in respect of qualifying medical expenses incurred by a taxpayer and/ or his /her dependents. The first €125 per person does not qualify for relief. Where several dependents are the subject of a claim, the overall restriction is €250 for a group.

An individual may claim tax relief in respect of Health Expenses incurred by:

* Self
* Spouse
* Your child or any other child, who for the year of the claim, is in your custody and maintained at your expense and under 18 years of age, or if over 18 years of age, is receiving full-time education.
* A Relative
* An Individual who is aged 65 years (or over) or who is permanently incapacitated by reason of mental or physical infirmity. Applicable for 2002 and subsequent tax years.

Qualifying Health Expenses

# Certain Costs of Doctor/Consultant Fees, Dentist.
# Diagnostic procedures carried out on the advice of a practitioner.
# Drugs or medicines prescribed by a Doctor
# The supply, maintenance or repair of any medical, surgical, dental or nursing appliance used on the advice of a practitioner
# Maintenance/Treatment in an approved hospital or approved nursing home
# Transport by ambulance
# Reasonable travelling & accommodation expenses if qualifying health care is only available outside Ireland
# Home/Special Nursing - in certain circumstances
# Educational psychological assessments and speech & language therapy services for children, applicable for 2001 and subsequent years

Cost of Maintenance in a Nursing Home

An individual may claim tax relief in respect of the costs (less any amount paid by a public or local authority, insurance scheme or other compensation) of maintaining a relative in a nursing home which has been approved by the Minister for Health and Children.

The first €125 per person does not qualify for relief. Where several dependents are the subject of a claim, the overall restriction is €250 for a group. The tax relief is available at the taxpayer's highest rate of tax and can be claimed by completing form Med 1.

An individual may claim tax relief in respect of costs incurred relating to a relative or any other person who is either over 65 or permanently incapacitated by reason of mental or physical infirmity.

The definition of 'relative' for Health Expenses is very wide and includes a spouse, ancestor, lineal descendant, brother & sister, brother-in-law & sister-in-law, parents-in-law or any other child (not being a child of the claimant) in the claimant's custody who is maintained by the claimant.

If part of the costs of the nursing home are shared with other family members or relatives, an individual can claim in respect of the portion paid by him/her.

Qualifying Dental Treatment

Crowns
Veneers
Tip Replacing
Gold Posts
Gold Inlays
Endodontics - (Root Canal Treatment)
Periodontal Treatment
Orthodontic Treatment
Surgical Extraction of Impacted Wisdom Teeth
Bridgework
Dental Implant Treatment

The following do not qualify for tax relief

1) Routine Ophthalmic Care - i.e. Sight Testing, Spectacles, Contact Lenses
2) Routine Dental Care - i.e. Extraction, Scaling, Filling of teeth, Dentures.

Any Non-Reimbursed Expenditure (i.e. after VHI, BUPA,VIVAs Health,Health Board, Compensation Refunds)

No relief due on:
First €125 per person per year
First €250 per year for two dependent persons or more.

Relief Due

Relief can be claimed for expenses paid in each tax year, or for the year in which the expenses were incurred. Claims can be in respect of subscription year or tax year but must be consistent every year. Relief is given by way of repayment at the end of the year.

In cases of hardship relief may be granted during the tax year. All such cases will, of course, be subject to lodgement of form Med1 in the normal way, and to review after the end of the year in question.


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