# Income levy exemption while a medical card holder



## ailbhe (8 Apr 2009)

Not sure if this should be in budget queries, work and employment or here so please move if in the incorrect forum.

I am a full medical card holder and work full time.

In January I paid the income levy of 2% on my wage. I contacted my employer, told them I was exempt and she said she didn't know how to ensure I didn't pay it and to get on to the tax office.

Rang the tax office and was told that I had to pay it and claim it back at the end of this year. That there was no way of making sure some people pay it and some don't.

It has now increased and I was discussing it with a friend yesterday who works in payroll and she advised that what I was told by the tax office is incorrect.

Who is giving me the correct information? If it is my friend in payroll then what do I need to give my employer? Payroll is outsourced so my employer is pretty clueless when it comes to things like this.

I would (I'd guess) be the only person in the company who has a medical card at the moment so it wouldn't be something they have had to deal with before.


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## dewdrop (8 Apr 2009)

You should give evidence of your medical card to your employer and insist they take the necessary action which all others have done in these circumstances. My immediate reaction is that the person did not just bother to find out what to do


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## shanaway (8 Apr 2009)

can anybody explain where the figure of 15028 for the incom levy came from why not 15000


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## vandriver (8 Apr 2009)

I am in the same position and can confirm that it is perfectly possible for the health levy and income levy to not be deducted from your wages.If the payroll function is outsourced then why not phone them as they surely deal with other companies where this is more prevalent.It might be as simple as getting your prsi sub-band altered


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## KevR (8 Apr 2009)

Hi - this query came to me at my work where I do the payroll a couple of weeks ago. I use Sage Micropay Professional and that program has a tick box in the personnel details for medical card holders. Once I ticked that box for my guys, no more levy. I would guess most software packages have something similar. 
Then I found from Sage that I had to manually set up a new payroll category in deductions for income levy adjustments and I used that to refund the levy already paid to date.

And 15028 divided by 52 is exactly 289.


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## shanaway (8 Apr 2009)

buy why 289 per week


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## KevR (8 Apr 2009)

I think its just a number low enough to make sure that most of those on minimum wage end up paying the levy as well. Maybe a way of preparing them for being included as PAYE tax payers after the Dec 09 budget?

Anyway this is getting away from the original query


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## Mimim (9 Apr 2009)

Hi Ailbhe,  I too have a medical card thank god.  You should check with your payroll department to make sure you are on PRSI class A2.  This will mean that not only do you qualify for exemption from the levy, but also from the increase in the PRSI health levy.  If you are not on class A2 already, you have been paying the health levy which you don't have to.  You will be entitled to a PRSI refund from the time you got your medical card. Good luck.


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## ailbhe (11 Apr 2009)

Thanks all.
I will get on to my employer and the local tax office again on Tuesday and get it sorted. Really can't afford to lose any more money per month.
Lovely to know those working in the tax offices are so well trained on important matters.


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## paulmisty (23 Oct 2009)

Hi all, I too only recently heard about this medical card exemption fron a levy !  As I'm employed full time, with a medical card I was told I'm exempt from a levy ! but how to go about getting my hard earned few bob back is not as easy as I first thought, any help would be very much appriciated,
Thanks
paulmisty


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## zippidydo (10 May 2010)

*Health levy exempt while have medical card*

Hi, I applied and was refused my medical card last month on renewal. Should I inform my employer to switch me back to PRSI rate A1 now as I have been on A2 rate while I had Medical card which left me exempt from paying the health levy.

I know I am still exempt from income levy until year end as I held medical card for part of this year, but not sure about health levy. Thanks.


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## laughter189 (14 May 2010)

Is a GP Card holder employee exempt from the income levy ? - Don't have the full medical card


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## Breninio (14 May 2010)

No, GP only cards do not entitle the holder to an exemption from the income levy. It is only full medical cards.


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## Black Sheep (14 May 2010)

The easiest to be sure that your payroll section is aware of your personal position is to give them a photocopy of your medical card. Don't even bother with the phone calls and discussions


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