BIK question

Folie a deux · 03-03-2021 11:38am #1

Hi,

My health insurance is provided by my employer so I am just paying the BIK on this. I am also receiving the €200 tax credit.

I have now added my partner to my policy and the company will also be paying for this. My question is how does it work with his tax credit for health insurance. Will I be receiving his tax credit in addition to mine or how does it work?

Thanks in advance

TaxPro · 03-03-2021 5:37pm

Yes you will get both of your tax credits in your tax return as you / your employer were the one who paid for his insurance and the tax thereon.

Assuming the policies paid for by your employer are costing at least 1k each, then you'll get the max 20% credit, 200 x 2 = EUR 400.

Folie a deux · 09-03-2021 11:20pm

Thanks for that Tax Pro.

Just another question a I am still trying to figure this out.

In my health insurance subscription there is a 200 euro deduction for tax relief at source, but I am also receiving a 200 euro tax credit.

is this correct or should I only be receiving one of these??

namenotavailablE · 10-03-2021 7:24pm

Your employer should be paying the net amount to the insurance company and separately the tax credit to the Revenue Commissioners. You should be seeing the gross value in your payslip (sum of net + tax credit). You can then claim the tax credit.

Once the gross value is what you are paying BIK on it should be OK.

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