Received less than I was owed

Danniboo

Hi,

Put in a claim for tax for medical expenses and rent relief. Received my refund today, but it's about half if not less than what i'm owed. I claimed for 2012 and 2013. So would it be the case that because its not the end of the year, they would have increased my credits for 2013 or should I have received the full amount.

srsly78

You don't get your money back, you get tax relief. So the amount you get back depends on how much tax you paid, and how much relief you get.

Danniboo

What do you mean? I did get money back, because of relief on expenses I paid? I'm guessing you mean that you just get credits/relief for claims entered for the same year, but your post is confusing.

srsly78

The max you can get back is determined by how much tax you paid. If you didn't pay much tax then there isn't much to get back. Credits and reliefs are not the same thing either, the relief might only apply to the 20% band.

Ring the tax office and ask them.

clarkey1980

Danniboo wrote: »

Hi,

Put in a claim for tax for medical expenses and other bits. Received my refund today, but it's about half if not less than what i'm owed. I claimed for 2012 and 2013. So would it be the case that because its not the end of the year, they would have increased my credits for 2013 or should I have received the full amount.

2013 medical expenses cannot be claimed until after the end of year.

Danniboo

clarkey1980 wrote: »

2013 medical expenses cannot be claimed until after the end of year.

Thanks, just wanted to clarify as it varies for different things.

Danniboo

srsly78 wrote: »

The max you can get back is determined by how much tax you paid. If you didn't pay much tax then there isn't much to get back. Credits and reliefs are not the same thing either, the relief might only apply to the 20% band.

Ring the tax office and ask them.

It doesn't rent relief and medical expenses are both at 20% regardless of tax band i've looked in to it. Rent Relief is capped at 20% on €1200 2012 and €1000 2013.

namenotavailablE

Srsly is correct!

He is referring to the following type of scenario- imagine in your employment that you paid income tax during the year of €1000 in total. If you submit a valid claim for medical expenses of €6000, you won't get the full 1200 (6000 x 20%) refunded- the refund will be limited to €1000 (i.e. the amount of tax that you have paid). Additionally, if you then claimed a tax credit for rent paid- say €1200 x 20% = 240- then you wouldn't get any of the €240 back, since your medical expense claim has already refunded you all of the tax that you paid.

Obviously, if you paid enough income tax then you can get the full amount of each claim back.

Danniboo

namenotavailabl wrote: »

Srsly is correct!

He is referring to the following type of scenario- imagine in your employment that you paid income tax during the year of €1000 in total. If you submit a valid claim for medical expenses of €6000, you won't get the full 1200 (6000 x 20%) refunded- the refund will be limited to €1000 (i.e. the amount of tax that you have paid). Additionally, if you then claimed a tax credit for rent paid- say €1200 x 20% = 240- then you wouldn't get any of the €240 back, since your medical expense claim has already refunded you all of the tax that you paid.

Obviously, if you paid enough income tax then you can get the full amount of each claim back.

Yeah the money I got back wouldn't even touch the sides of the amount of tax I paid during the year, i'm guessing it's because I can't claim for this year.

srsly78

That's the most likely explanation in your case yes.

Danniboo

srsly78 wrote: »

That's the most likely explanation in your case yes.

Will they increase my credits for this year then? Or will I need to reapply next year?

srsly78

They will just give a refund at the end of next year. You don't have to do anything.

Danniboo

Cool, presume they'll just put it through my account again?

I carried a watermelon

If it was a health expenses claim for 2013 you will need to resubmit it at the end of the year along with a copy of your 2013 P60.
Revenue won't automatically do a review for you at the end of the year, more than likely they will return your 2013 med 1 form, if not, just resubmit another one at the end of the year.

I carried a watermelon

In the majority of cases when you make a claim for rent relief, the rent relief will automatically carry forward to the next tax year I.e. you don't need to submit a rent claim each year (unless you move property during the year) So if you had previously submitted a rent relief claim in a previous year more than likely the credit carried forward and you were already receiving the relief through your tax credit certificate.
Therefore when you submitted your rent relief claim there was no further tax relief due to you as you had already received the full relief during the tax year instead.