Q: Med aid tax credit ??? Code 4116

[ahmedy]

Hi guys

please can you help me understand what is code 4116 in my IRP5?

My tax consultant states that I will not receive any rebate this year as the company i work for has already given me the credit, i can see an amount in my irp5 under code 4116 which is medical aid tax credit.

The issue though is that i have not received this credit/ monies from my employer at any time.

My employer does pay half my med aid if that makes any diff

Should i be going to HR and asking them where is this tax credit ? Am i owed this money by the company i work for?

 

[ToxicBunny]

Hi guys

please can you help me understand what is code 4116 in my IRP5?

My tax consultant states that I will not receive any rebate this year as the company i work for has already given me the credit, i can see an amount in my irp5 under code 4116 which is medical aid tax credit.

The issue though is that i have not received this credit/ monies from my employer at any time.

My employer does pay half my med aid if that makes any diff

Should i be going to HR and asking them where is this tax credit ? Am i owed this money by the company i work for?

No, the company will have paid all your medical aid PRIOR to the tax calculation and the rebate would have been included in that figure.

 

[supersunbird]

Hi guys

please can you help me understand what is code 4116 in my IRP5?

My tax consultant states that I will not receive any rebate this year as the company i work for has already given me the credit, i can see an amount in my irp5 under code 4116 which is medical aid tax credit.

The issue though is that i have not received this credit/ monies from my employer at any time.

My employer does pay half my med aid if that makes any diff

Should i be going to HR and asking them where is this tax credit ? Am i owed this money by the company i work for?

So around March last year (and this year) your salary didn't change by a few hundred?

 

[isie]

Hi guys

please can you help me understand what is code 4116 in my IRP5?

My tax consultant states that I will not receive any rebate this year as the company i work for has already given me the credit, i can see an amount in my irp5 under code 4116 which is medical aid tax credit.

The issue though is that i have not received this credit/ monies from my employer at any time.

My employer does pay half my med aid if that makes any diff

Should i be going to HR and asking them where is this tax credit ? Am i owed this money by the company i work for?

Check what you actually paid for Medical aid every month on your payslip - Most of the time you see the amount as reduced means your tax credit has been applied already.
so say Medical aid per month supposed to cost you R3000 - but on your payslip it shows as R2714 paid - means they deducted a tax credit for you if its R 2428 its Tax credit for you and 1 dependent and so on.

 

[ahmedy]

Thank you for all the replies guys

@ToxicBunny - i did not recieve any change in my salary

@isie - my medical aid amount payable is exactly the same for both my portion and my employer portion. when i look back at previous pay slips, there is no change

 

[isie]

Thank you for all the replies guys

@ToxicBunny - i did not recieve any change in my salary

@isie - my medical aid amount payable is exactly the same for both my portion and my employer portion. when i look back at previous pay slips, there is no change

Ok but that 50/50 Split what's the total amount and check on your Medical aids website amount what you should be paying if you had medical aid directly with them - if the same you are due for a rebate - if less then you are not - hope that makes sense.

question if your tax is not complicated (i assume as its only the medical credit you querying) why are you using a practitioner and not DIY?

 

[ahmedy]

@isie - i think i am due for a rebate from my employer as the rate the medical aid charges is exactly what i am being deducted for as well as the portion my employer is paying.

Would it make any difference regarding the fact that my employer and i both contribute towards my gap cover?

I have used the tax practitioner often and at a fee of R125, i did not mind. However i will consider next year going it alone

 

[PsYTraNc3]

My employer covers medical aid 100%
On my payslip, my tax is deducted and then medical aid tax credit applied.

Since I'm essentially paying tax on the medical aid and receiving it back at the same time, there is no difference in my salary.
Maybe the same applies for you?

 

[isie]

@isie - i think i am due for a rebate from my employer as the rate the medical aid charges is exactly what i am being deducted for as well as the portion my employer is paying.

Would it make any difference regarding the fact that my employer and i both contribute towards my gap cover?

I have used the tax practitioner often and at a fee of R125, i did not mind. However i will consider next year going it alone

then from the way you describe it then you are due for the credit - unless they credited you the tax somewhere else on the payslip

 

[ToxicBunny]

then from the way you describe it then you are due for the credit - unless they credited you the tax somewhere else on the payslip

I'm guessing the rebate is on his payslip, possibly in a bit of a cryptic format or rolled up into a company contributions figure or something.

 

[ToxicBunny]

Thank you for all the replies guys

@ToxicBunny - i did not recieve any change in my salary

@isie - my medical aid amount payable is exactly the same for both my portion and my employer portion. when i look back at previous pay slips, there is no change

Did you get a rebate last year?

 

[ahmedy]

@Toxic Bunny - i did receive a rebate last year on my ITA34 but i had assumed that was due to me having changed jobs

 

[ToxicBunny]

@Toxic Bunny - i did receive a rebate last year on my ITA34 but i had assumed that was due to me having changed jobs

Did you change companies etc?

 

[ahmedy]

Yup, i did in the financial year 2015/2016

 

[ToxicBunny]

Yup, i did in the financial year 2015/2016

Ok that might be a significant reason why things look different...