Taxback.com officially launched a new partnership with Medical Staff Ireland yesterday at our Stephen’s Green office in Dublin. The aim of the partnership is to highlight refunds around medical expenses and potential reliefs for both medical staff and the general public when it comes to expenses like nursing home fees, flat rate expenses, and the Home Carer’s Tax Credit.
We felt that Medical Staff Ireland was the perfect fit for 2 reasons:
The transient nature of the staff they are attracting to Ireland and also those in the industry leaving Ireland for the UK, Australia, and New Zealand. Moving from one country to another can be daunting enough and the last thing they need to worry about are tax rules and entitlements.
Another reason is that because of the nature of their work, medical staff don’t spend much time sitting at their PCs and simply don’t have the time to research their entitlements.
Senior tax manager Barry Flanagan spoke at the launch and highlighted some of the key medical expenses that go unclaimed each year.
The average Irish tax refund is €1076.17
One of the biggest expenses going unclaimed is that in relation to nursing home fees. Tax relief on nursing home fees remains at the higher 40% tax rate. This means that on nursing home fees of €50,000, you may be entitled to a tax refund of up to €20,000. It’s important to note that the person paying the fees is entitled to the relief, e.g. the child of an elderly parent who pays the fees as opposed to the elderly person being cared for.
Another relief not being claimed is the Home Carer’s Tax Credit, which is available for people who care for a dependent in their own home. What people may not realise is that you may be able to qualify for this relief if you’re a stay at home parent in a marriage/civil partnership and jointly assessed with your partner for tax purposes. The full tax credit is €1,000 (increasing to €1,100 in 2017) and many people are missing out because they don’t realise they qualify.
About a third of those who never claim for medical expenses said they feared the process would be too confusing or time consuming, leaving millions of euro unclaimed.
In addition to medical expenses for the general public, the partnership wants to highlight flat rate expenses unique to medical staff in Ireland. Flat Rate expenses are probably the most under claimed tax relief in the medical industry. Whether you’re a porter in a hospital, a nurse in a nursing home, care assistant or doctor, you are automatically entitled to a relief of up to €695 each year.
Refunds for the past 4 years can still be claimed so it’s important to apply for your refunds from 2012 before December 31st of this year.
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