Medical Exps - Treatment of VHI / BUPA Excess on MED1 from

Anyone have any experience in treatment of the VHI/BUPA excess when completing a MED 1 medical expenses claim?

I have a payment from BUPA split over 2 tax years. Also part of the refund is for chiropractic which is not claimable for tax.

The split of amounts to be paid back to me (before excess) is roughly as follows:

&nbsp &nbsp &nbsp &nbsp &nbsp &nbsp &nbsp &nbsp Tax Yr 1&nbsp &nbsp &nbsp &nbsp Tax Yr 2

Allowable Exps&nbsp &nbsp &nbsp &nbsp 400&nbsp &nbsp &nbsp &nbsp &nbsp &nbsp &nbsp &nbsp 150&nbsp &nbsp &nbsp &nbsp
Not allowed&nbsp &nbsp &nbsp &nbsp 200&nbsp &nbsp &nbsp &nbsp &nbsp &nbsp &nbsp &nbsp 250

(The amounts above for allowable exps are the eligible amounts rather than the total amounts which would be higher).

Total 1,000
Excess 400
Paid 600

When I go to do my Med1 from, I have say 1000 of allowable medical exps (total value of allowable exps). Is there any revenue rules as to how to apply the excess to the expenses? If not I could allocate the whole excess to expenses which do not qualify for tax and thus maximise the amount I can claim.

Any help would be appreciated.

Re: Medical Exps - Treatment of VHI / BUPA Excess on MED1 fr

I don't know the answer to your specific question. I did see a possible loophole last time I filled out the MED1 form, which asks you (if I recall correctly) to specify any amount claimed back from VHI/BUPA/other. From my non-expert reading of the form at that time, if you deferred claiming from BUPA until after you complete the MED1 form, you could exclude any BUPA payments from your claim.

As always, I'm open to correction from the experts on this.

Re: Medical Exps - Treatment of VHI / BUPA Excess on MED1 fr

From my non-expert reading of the form at that time, if you deferred claiming from BUPA until after you complete the MED1 form, you could exclude any BUPA payments from your claim.

Perhaps, in that case, when you claim after the fact the money paid out would be assessable for income tax?

Med 1 VHI/BUPA Excess

From my non-expert reading of the form at that time, if you deferred claiming from BUPA until after you complete the MED1 form, you could exclude any BUPA payments from your claim.

Thanks Rainyday and Clubman.

I like the first idea of claiming before being paid back but would say you would have to declare it afterwards

In relation to the money paid back being taxable, it is effectively the same thing.

I might have to ring the Revenu and confuse them!!

Re: Medical Exps - Treatment of VHI / BUPA Excess on MED1 fr

I did see a possible loophole

Click to expand...

The Med 1 refers to amounts received or receivable from BUPA/VHI - so deferral will not make a difference.

To make a claim as suggested would be tax evasion and could land you in prison!

Re: Medical Exps - Treatment of VHI / BUPA Excess on MED1 fr

You're correct, Hammy - though I'd swear I checked the wording of this the last time I did my Med1