Real time tax credits for Med 1

[Sarah Ryan]

Can I ask what is probably a silly question.
Is it better to claim your med1 expenses in real time or do the lump sum at the end of the year?

If they reduced down your tax credit then (in my very not brainy head) surely it would be better as you pay less tax every month, and not just the month you are claiming for? Or does it / should it just work out the same at the end of the year?

 

[Corola]

I find it's a lot easier to claim them in a lump sum at the end of the year because you don't have to submit your receipts into the Revenue Receipts Tracker. If you claim as you go then you have to upload the receipt each time. When I have a medical receipt I take a photo of it on my phone and save it to my Google Drive so I can remember them all at the end of the year. Then in Form 12 you just enter the total amount.

Tax-wise you pay the same amount of tax. I suppose it's better to have more tax credits earlier in the year than at the end of the year because you can earn a return on the extra money. But the impact is pretty small for the amount of medical expenses I have. If I had a large one-off expense I would probably submit it in real time.

 

[Sarah Ryan]

I upload all my receipts for gas / esb and meds the minute I get them, I started doing it once the WFH tax credit was introduced, it was painful doing the first claim so I made a pact to upload everything the minute it happened!
You can upload the receipts and not proceed to the claim.

I have €417 so far in med stuff so am leaning towards getting the reduced tax credit for the rest of year and was just wondering if there was any advantage between the two ways.

 

[Ciru75]

You're trading off extra effort for getting the money quicker. Which is better will depend on the person really.

 

[Sarah Ryan]

You're trading off extra effort for getting the money quicker. Which is better will depend on the person really.

To get the WFH tax credit have no choice to upload the receipts so if you are doing it for one, you may do it for them all I say. It's a quick process can be done online while sitting on the sofa so I wouldn't say it's any extra effort.

Less paperwork filling at home!

 

[Corola]

I have claimed the WFH tax credit each year and never uploaded any receipts. If you wait until the year is over you only need to enter the total amount.

There was some message about uploading and retaining receipts but I ignored that and submitted the tax return without them.

 

[Sarah Ryan]

I have claimed the WFH tax credit each year and never uploaded any receipts. If you wait until the year is over you only need to enter the total amount.

There was some message about uploading and retaining receipts but I ignored that and submitted the tax return without them.

Ah I will just do it online, no patience to be keeping receipts etc if they ever select me for a review x

 

[Harvard]

I have claimed the WFH tax credit each year and never uploaded any receipts. If you wait until the year is over you only need to enter the total amount.

There was some message about uploading and retaining receipts but I ignored that and submitted the tax return without them.

Uploading receipts is a relatively new thing with revenue.