Clarification: Med. expenses with Med1 & VHI

Hope this is in the right area...
I am currently organsing my medical and dental bills for the year and need clarification.

I am aware of tax relief applicable under the Med1 form (with accompanying Med2 for Ortho etc). However, I also have private health insurance with VHI.

Example situation: If I have a bill of 40euro for GP visit, can I claim my 20euro back with VHI (20euro per visit as part of policy) and also claim the full 40euro again on Med1 or should I claim the 20euro back with VHI and then submit the balance of 20euro on the Med1?

I have gotten conflicting advice and would appreciate any clarification .. thanks.

Bear in mind that you may not get the €20 back from the VHI as there may well be an excess charge of €300 or €400 depending on your options.

I would claim from the VHI first and see what you get back.
Keep a copy of these bills before you send them in - VHI require original bills stamped 'Paid'

Then put the full amount (€40) on the MED1 form and deduct the VHI refund at the bottom

jasconius said:

Bear in mind that you may not get the €20 back from the VHI as there may well be an excess charge of €300 or €400 depending on your options.

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Or an excess of €1 for GP fees on some VHI plans (e.g. Family Plan [Plus?] and maybe others).

You can only claim tax relief on otherwise unreimbursed expenses. So if you paid the doc €50 and get €20 back from the VHI then you can only claim relief on the €30. As above you enter the gross amount and then calculate the net amount less any refunds from insurers etc.

Perfect - I thought that was the correct procedure.. it seems a few people were adivising me otherwise. On a related note, does this seem somewhat contradictory? You pay into a private health insurance scheme in addition to paying all other compulosry taxes, yet are unable to claim the full amount for your efforts. Just a thought....

Plek Trum said:

Perfect - I thought that was the correct procedure.. it seems a few people were adivising me otherwise.

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Who were these people and what were they advising? That you could claim tax relief in the gross amount even though some was refunded by the insurer perhaps (definitely wrong)?

On a related note, does this seem somewhat contradictory? You pay into a private health insurance scheme in addition to paying all other compulosry taxes, yet are unable to claim the full amount for your efforts. Just a thought....

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No. The real cost to you is the net amount after deduction of any insurance payouts so you get tax relief on that amouont. What's contradictory about that? You also get tax relief on your insurance premiums.

Insurances excesses are there for a reason.

To prevent moral hazard.

I assumed that Plek Trum was referring to the fact that you cannot claim tax relief on otherwise reimbursed medical expenses. But perhaps they were referring to excesses on private health insurance claims. It's not totally clear.