Cius
Executive Member
- Joined
- Jan 20, 2009
- Messages
- 8,347
For those that are unaware earlier this year SARS tried to change how disability expenses could be deducted on tax returns and essentially remove most of the benefit from families looking after disabled people. While most countries are moving in the opposite direction I should add, helping people like that more. A few articles where written on it like this one:
www.moneyweb.co.za
After a massive backlash from the media, Rare Diseases SA, and the chartered accounting institute they backed off. However what is happening now is they have changed tactics.
For as long as disability expenses have been allowed on tax returns the one easy deductible was expenses that medical aids did not pay for related to the disabled person. As long as the medical aid tax certificate had that break down of what you paid above the medical aid contributions it was accepted as gold. They now no longer accept the medical aid tax certificate. They now request full proof of every purchase which as it was never before required no one has really kept. They do not accept a statement from the pharmacy or medical provider either according to the call center, only actual receipts.
I have contacted a CA who is an expert in this area as well as two registered tax practitioners and they all agree this is new, and insane. It is sickening how SARS wants to target the disabled and their care considering how little the government does to help these vulnerable people and those trying to care for them. I am writing this to raise awareness and to hopefully trigger an investigation by MYBB journalists so that more media pressure can be created on SARS to resume accepting medical aid tax certificates instead of the new onerous requirements.
@Jan, please pass this on to the staff writer's. Happy to be contacted for more details. Please feel free to use the title of this thread as the article title.
I am boiling at this. We already struggle so much to pay the massive expenses for my disabled child. Some years our medical expenses over and above what a top medical aid plan covers can be in excess of R80 000. The SARS tax credit I got ended up paying a good chunk of our medical expenses as we just don't have that kind of money to pay for all that my daughter needs and what we spend is helping keep her alive. I know so many others in the same boat. If we don't get the help and support of the media on this it will be simply devastating if SARS wins.
I will also be sending all the details to SAICA and Rare diseases to add to what I assume is a growing number of similar cases. Thanks.
Sars wants to limit tax relief for disabled costs
Sars argues in the document that school fees are not in the consequence of a disability.
After a massive backlash from the media, Rare Diseases SA, and the chartered accounting institute they backed off. However what is happening now is they have changed tactics.
For as long as disability expenses have been allowed on tax returns the one easy deductible was expenses that medical aids did not pay for related to the disabled person. As long as the medical aid tax certificate had that break down of what you paid above the medical aid contributions it was accepted as gold. They now no longer accept the medical aid tax certificate. They now request full proof of every purchase which as it was never before required no one has really kept. They do not accept a statement from the pharmacy or medical provider either according to the call center, only actual receipts.
I have contacted a CA who is an expert in this area as well as two registered tax practitioners and they all agree this is new, and insane. It is sickening how SARS wants to target the disabled and their care considering how little the government does to help these vulnerable people and those trying to care for them. I am writing this to raise awareness and to hopefully trigger an investigation by MYBB journalists so that more media pressure can be created on SARS to resume accepting medical aid tax certificates instead of the new onerous requirements.
@Jan, please pass this on to the staff writer's. Happy to be contacted for more details. Please feel free to use the title of this thread as the article title.
I am boiling at this. We already struggle so much to pay the massive expenses for my disabled child. Some years our medical expenses over and above what a top medical aid plan covers can be in excess of R80 000. The SARS tax credit I got ended up paying a good chunk of our medical expenses as we just don't have that kind of money to pay for all that my daughter needs and what we spend is helping keep her alive. I know so many others in the same boat. If we don't get the help and support of the media on this it will be simply devastating if SARS wins.
I will also be sending all the details to SAICA and Rare diseases to add to what I assume is a growing number of similar cases. Thanks.