Eligibility for net medical expenses tax offset
Category : Practice Updates
The Medical Expenses Tax Offset is being phased out.
To be eligible for the offset for 2014–15, you must have received a Medical Expenses Tax Offset in both of their 2012–13 and 2013–14 income tax assessments.
The eligibility rule for the Medical Expenses Tax Offset does not apply to taxpayers with out-of-pocket medical expenses relating to disability aids, attendant care and aged care. These expenses can continue to be claimed until 30 June 2019.
Entitlement to Medical Expenses Tax Offset
| Family Status | Adjusted Taxable Income Threshold | What can you claim? |
| Single (single at 30 June 2014 and no dependent children) | $88,000 or less | 20% of net medical expenses over $2,162 |
| above $88,000 | 10% of net medical expenses over $5,100 | |
| Family (with a spouse at 30 June 2014, or dependent children at any time during the year, or both) | $176,000* or less | 20% of net medical expenses over $2,162 |
| above $176,000* | 10% of net medical expenses over $5,100 |
*plus $1,500 for each dependent child after the first.
There is no upper limit to the amount you can claim