Should I be expecting anything back from SARS?

[kolaval]

Hi

I filled in my ITR12, and it being auto populated with the same amounts on my IRP 5, the only thing I actually enter is the medical deductions section.

Now I have 2 small kids that combined ran up more than R15000 in medicine costs for the 2011->2012 tax year, over and above what I pay to the medical aid.
And that amount I put in the 4020 section "State any medical expenses not recovered from your medical scheme".

Yet when I hit the calculate button, the resulting PDF shows I'm getting 44c back.
Could this be correct, I mean R15000 worth of medical bills makes no difference?
Should I rather get an accountant to have a look and submit my tax return?

 

[Mercury]

Could this be correct, I mean R15000 worth of medical bills makes no difference?
Should I rather get an accountant to have a look and submit my tax return?

Remember, medical expenses up to 7.5% of taxable income before the expenses are not deductible. Put another way, the tax system only helps out once your medical expenses are out of the ordinary.

 

[Speedster]

Remember, medical expenses up to 7.5% of taxable income before the expenses are not deductible. Put another way, the tax system only helps out once your medical expenses are out of the ordinary.

^ This. So, if you're earning more than R200k taxable income a year R15k medical expenses have no tax effects.

 

[kolaval]

Eish dankie
******* SARS

 

[ViperGTI]

^ This. So, if you're earning more than R200k taxable income a year R15k medical expenses have no tax effects.

But I'm assuming he has medical aid expenses of at least R15000 as well (with 2 kids and all) so on R200k, at least some of that should be deductable.
You don't perhaps have a car allowance? That is usually where you can get a lot back.

 

[Speedster]

But I'm assuming he has medical aid expenses of at least R15000 as well (with 2 kids and all) so on R200k, at least some of that should be deductable.
You don't perhaps have a car allowance? That is usually where you can get a lot back.

AFAIK there is already a tax deduction for the medical aid contribution so it's not included in the 7.5%

 

[kolaval]

Nope no car allowance
Yes the medical aid was about R38k for the year.
Anycase I submitted my return this morning and end up owning SARS 28c

Always a nice warm feeling when you pay so much tax and then read about the rampant corruption that pisses it away.

 

[ViperGTI]

AFAIK there is already a tax deduction for the medical aid contribution so it's not included in the 7.5%

Right... I forgot that Medical aid is a benefit a lot of the time. I'm kinda self-employed so medical aid is for my own account which is probably why I get R1-2k back each year for medical.