There’s a lot of benefits to holding a full Medical Card – free GP care, prescriptions and other health services – but there’s also a less well-known advantage which can come in the form of a tax refund.
When it comes to Medical Cards, there’s two key tax refunds we look for and those are – Income Levy and Universal Social Charge.
Income Levy Refunds
In the 2009 Budget, the Income Levy was introduced with rates of 1%, 2% and 3%. And, it wasn’t long until these were doubled to 2%, 4%, 6% in the Emergency Budget of April 2009.
Unfortunately, what happened around the introduction of this new Levy resulted in a lot of confusion – and although Medical Card holders were exempt from the Levy, employers and payroll officers didn’t know which staff held medical cards and therefore charged all of them.
But, the news isn’t all bad! You can still claim back your Income Levy for 2010. Here at Red Oak, we are still seeing clients who have paid the Income Levy in 2010 but should have been exempt.
Time to claim this back is running out! Once 2015 comes, all potential refunds for 2010 will be lost – so apply now before you miss out.
Universal Social Charge Rdfunds
From 2011, we’ve all been stung with the Universal Social Charge (USC), and although Medical Card holders weren’t fully exempt from this charge – they are exempt from paying the top rate of 7%.
Even though the USC has been in place for a few years, there are still cases slipping through the cracks and some Medical Card holders are being charged the top rate of USC.
At Red Oak, we check for all possible refunds for Medical Card holders, in particular any overpayments in Income Levy and USC.
We don’t need any P60’s or P45’s to check for these refunds – all we need is for you to start the process by applying now.
Post written by Bridgette Murphy
As a Tax Agent, the best part of my job is telling people they have a tax refund – but it astounds me how many people assume their taxes are in order. As my background is in education, I like to help inform and educate my customers on their entitlements and the little things they can do to maximise their tax refund at the end of the year.