Med 1 and claim for drugs expenses 2005

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sherib

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I've searched the Revenue site and previous posts on Med 1 but can't find the answer to my question. What I want to know is the amount that can be claimed per month for drugs expenses for 2005. On the Med 1 form it gives the amount that can be claimed for 2004, 2003, and 2000-2002.

It seems to increase slightly every year but doesn't give the amount for 2005. Tax relief for this expenditure was €78/month in 2004 and €70 in 2003. Does anyone know what the amount is for 2005? It's virtually impossible to get through to Revenue on the phone. I'd be grateful for this information if anyone knows the answer.
 
I don't understand the €78/€70 p.m. figures. For the past few years anything above €125 (single claim)/€250 (joint/family claim) in qualifying expenses attracted tax relief. I never heard of any monthly figure in addition to these limits. By the way - if you were spending that amount on prescription drugs each month for any period of time then you might qualify for the drug payment/refund scheme run by the local health board (I think) where monthly expenditure on such drugs is capped.
 
Sorry ClubMan but you're not correct in this instance. I can't make a link to the Med 1 but if you look at page 4 of the Med 1 Form it clearly states that the amount eligible for tax relief in 2004 was €78 per calendar month; of course less €125/€250 from the total.

It also states that amounts spent in excess of that have to be claimed from the Health Board under the Drugs Payment Scheme. No matter how much you spent on prescribed drugs in 2004, you would never have to pay the Pharmacist more than **€78.00/month, assuming you go to the same shop. I'm still trying to discover how much per month was subject to Tax Relief in 2005. On reflection, it may in fact be the actual maximum amount one has to pay the Pharmacist, which was €85 in 2005, so maybe I've answered my own question!! I'd still like confirmation. While it usually increases with every Budget, it didn't change from €85 in December's Budget.

I was under the impression that the full amount paid per month was not eligible for tax relief. Seems I was wrong about that.

**One caveat: not all drugs are covered by this scheme so maybe those costs can be claimed from the local Health Board - which now has a different name.
 
Yes, correct, the amount is 85 pm.

The reason for this is that the most anybody would spend on drugs pm would be 85, so I suppose the max tax relief can be got on is also 85 pm.

I never thought about it like that, but I suppose you're right.

Either way, surely all you have to do is fill in your MED1 with your monthly cash spend on prescribed drugs, and then total it?
 
It is 85 euro per month for 2005. We pay th max on medicines per month and it is capped at this rate so this is the amonut you can claim so max = 85*12 for prescibed drugs.
 
I don't understand the €78/€70 p.m. figures.
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What the revenue are actually saying is that if you dont claim the Drugs Payment Scheme (of which you're entitled to) then they will not give you relief on anything in excess to this. This figure is €85 for 2006.
 
Originally posted by ClubMan - I never claimed to be correct
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Sorry CM, no offence meant :).

Having spoken to the Pharmacist I've learned that the Health Board only comes into play regarding refunds if a person purchases drugs from a Chemist's shop other than the one they normally deal with and when the monthly cost exceeds the normal allowance - €85 in 2005 and 2006. He also said that they hope to computerise this in the future so that any Chemist can check how much an individual has spent in a month. This would eliminate the necessity of claiming from the Health Board.

Now I have another question. I have never claimed refunds due under Med1 but am now facing up to it. Filling tax forms is a bit like dental extractions to me so have been avoided up to now!

Could anyone confirm or otherwise whether Med 1 claims can now only go back five years as the Pharmacist told me but wasn't certain?
 
With effect from 1 January 2004, the time limit on claims for repayment is FOUR years. See [broken link removed].
 
Surely shome mishtake?

sherib's right — the drug payment/refund scheme means that once you exceed €85 expenditure in a single calendar month (in 2005), prescribed medication becomes free thereafter, whatever your employment status, and leaving aside the question of Medical Card entitlement, which is a whole other kettle of fish. On condition that you pick them up at your regular chemist, who will have entered your details into their 'system', no cash need be exchanged. If you happen to fill a particular prescription elsewhere (for example, at a late-night pharmacy), you will have to 'front' the money, but you can later apply to reclaim it in its entirety, if you were already over the €85 threshold for that particular month, and therefore 'shouldn't have had to pay'. I've never had to do this yet — touch wood! — so I can't comment on the precise procedure.

Independently of the drug payment/refund scheme, any taxpayer can claim relief at their marginal rate on a variety of medical expenses, including costs incurred for prescribed medication and, of course, subject to the annual excess of €125 (for an individual) or €250 (for a family). As Lorraine B and santiago have said, four years is currently the maximum that you can backdate such claims for tax relief, if you've neglected to claim in previous years (and apparently quite a lot of us have!).

If anyone knows of tax reliefs available on over-the-counter drugs (including alcohol and tobacco products), please let me know! :D
 
Thanks for replies. It seems only the past four years are eligible so I've lost out due to my failure to submit claims. I have some kind of an allergy to filling in forms and it looks like the antidote has come too late!

I'm not complaining but from an egalitarian point of view, people at the higher tax rate benefit more from Med 1 tax refunds. It doesn't seem fair that lower income earners, especially those with families, can only benefit at the 20% rate yet have the same monthly/gross costs. While it is quite a substantial cost to the Exchequer it is a good scheme in view of the very high cost of drugs today. One I have to take costs the full €85/month. An item on the News suggested that a lot of people fail to make this claim - so I'm not the only one.

Since I've lost out on a substantial 2001 Med 1 claim, I wonder will the Revenue overlook a small underpayment of mine only recently discovered for that year - quid pro quo! How that occurred I have no idea since I've always been PAYE and never troubled them for anything.
 
Excuse my ignorance so can you claim for previous years expenses for Doctors/ Dentists etc on the Med 1 form or is it just for the year in question?
 
santiago said:
With effect from 1 January 2004, the time limit on claims for repayment is FOUR years. See [broken link removed].
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As previously stated, you may back claim up to four years.

FYI....
[Never done/had to do this so not sure of the exact details]
You may also put in future claims (if known in advance) in advance as long as your dentist/pharmacist/doctor fills out the form MED1 and you submit the receipts of payment as they are made.
(i.e. if you have 6k fees you know of in the coming year, being paid in three 2k payments, you can submit the MED1 and then each of the receipts as the payment is made - well, submit copies of the receipts I'd presume and hold the originals incase an audit ever takes place).

Just heard this recently and thought it may be of interest to some. Better to have the money in your hand than sitting in revenues until the end of the year.
 
carrig06 said:
Excuse my ignorance so can you claim for previous years expenses for Doctors/ Dentists etc on the Med 1 form or is it just for the year in question?
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You need to submit a different form for each year you claiming. You also need a MED2 for dental expenses along with the MED1.
 
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