Med1 form - expenses incurred/paid

Kila · 30-01-2009 03:51PM #1

I have a question about some of the terminology on the "Notes" seciont of the Med1 form (linked here).

The notes section says:

Year for which you claim
Relief is normally claimed for expenses paid in each tax year (1st January to 31st December). However, you may elect to
claim in respect of expenses incurred in the tax year even though they may be paid later. If you so elect, all amounts claimed
for the year must relate to amounts incurred in the year.

In relation to my specific query, I'm currently undergoing orthodontic treatment that is covered by the Med1 (and Med2 by extension) form, and will be claiming back now that I've received my P60. That portion up there talks about expenses incurred in the tax year even though they may be paid later. I'm paying for my treatment in three instalments. Since I agreed to the total price in 2008, and paid deposit and initial payment, do the other two payments (due this year) count as incurred (even though they'll be paid later)? Do I claim them on the form for last year, or do I wait til the end of 2009?

Ticktactoe · 31-01-2009 07:25PM

Kila wrote: »

I have a question about some of the terminology on the "Notes" seciont of the Med1 form (linked here).

The notes section says:

In relation to my specific query, I'm currently undergoing orthodontic treatment that is covered by the Med1 (and Med2 by extension) form, and will be claiming back now that I've received my P60. That portion up there talks about expenses incurred in the tax year even though they may be paid later. I'm paying for my treatment in three instalments. Since I agreed to the total price in 2008, and paid deposit and initial payment, do the other two payments (due this year) count as incurred (even though they'll be paid later)? Do I claim them on the form for last year, or do I wait til the end of 2009?

Revenue only allow you to claim relief on Medical Expenses which are incurred in the current tax year if you are in extreme hardship i.e struggling financially. This can be processed by means of a written application giving details of your hardship etc Otherwise relief is only granted for past years. You can only claim relief on expenses that are paid.

Bluetonic · 02-02-2009 10:33AM

Ticktactoe wrote: »

Revenue only allow you to claim relief on Medical Expenses which are incurred in the current tax year if you are in extreme hardship. Otherwise relief is only granted for past years.

Thats just incorrect.

You don't have to claim Med 1 expenses in line with the tax year, the option is also there to claim them in line with your private health insurance year if you have have private health insurance.

If your subscription year for medical insurance (VHI, Quinn Healthcare, Hibernian Aviva Health, etc.) does not coincide with
the tax year you may submit Form Med1 for the subscription year. However, claims for subsequent tax years must also be
based on your subscription year.

Therefore you can have medical expenses in Jan 09 and claim them in Feb 09 if your health insurance renewal is Feb 09 for example.

Kila · 02-02-2009 02:21PM

This isn't really related to health insurance though.

My question really is what they mean by incurred as opposed to paid. I'm talking about claiming for 2008, and wondering whether I should be claiming for the total amount (agreed to in Feb 2008) or just the amount that I paid in 2008 (approx 1/2 the cost). I'm wondering if, because I agreed to the bill in 2008, the expense falls under "incurred but yet to be paid" or not.

I'm going to call or email the local tax office today and ask, I just would have liked to be armed with some info before I call so that I understand what they're saying.

Ticktactoe · 03-02-2009 12:25AM

Kila wrote: »

This isn't really related to health insurance though.

My question really is what they mean by incurred as opposed to paid. I'm talking about claiming for 2008, and wondering whether I should be claiming for the total amount (agreed to in Feb 2008) or just the amount that I paid in 2008 (approx 1/2 the cost). I'm wondering if, because I agreed to the bill in 2008, the expense falls under "incurred but yet to be paid" or not.

I'm going to call or email the local tax office today and ask, I just would have liked to be armed with some info before I call so that I understand what they're saying.

when Processin these claims incurred means paid. If u can produce a receipt for the agreed amount then send it in but generally they are based on expenses paid.

Ticktactoe · 03-02-2009 12:28AM

Bluetonic wrote: »

Thats just incorrect.

You don't have to claim Med 1 expenses in line with the tax year, the option is also there to claim them in line with your private health insurance year if you have have private health insurance.

Therefore you can have medical expenses in Jan 09 and claim them in Feb 09 if your health insurance renewal is Feb 09 for example.

Im interested to know which revenue district told u this?

snowy1 · 20-03-2009 03:54PM

Kila any luck with revenue? I'm in the same position, braces fitted Sept 2008, price agreed at that time and I am paying in installments but would like to claim under 2008 tax year as per revenue instruction of treatment incurred.

Kila · 23-03-2009 09:34AM

I never got a satisfactory answer, so I just claimed for expenses paid in 2008.

Still waiting on the rebate to come in though, even though I claimed right at the start of January...

Ticktactoe · 23-03-2009 08:00PM

Kila wrote: »

I never got a satisfactory answer, so I just claimed for expenses paid in 2008.

Still waiting on the rebate to come in though, even though I claimed right at the start of January...

Its quite simple... you can only claim for expenses you have paid. So if you agreed on an amount of 2000 last year but only paid 1000 then you can only claim relief on the amount of 1000 for 2008 and claim relief on the remainder in the year you pay it.

If you submitted your claim and are anxious about it, ring Revenue. They will be able to get you an update on the status of it.

saffron17 · 13-09-2010 03:27PM

Kila how did you get on with revnue in the end re the expenses incurred as opposed to paid argument?

Med1 form - expenses incurred/paid

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