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2013 Net medical expenses- when incurred or when paid

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I'm new

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Hello!

I'm helping a friend complete some very late tax returns for the 2012-2013 period, and I was wondering if the net medical expenses counted from when they were incurred (or an invoice was sent for them) or when they were paid. I haven't found any clarification in the tax guide or online either. If the medical procedure was underwent during the 2013 period and they were billed for it, but they didn't pay until 01/07/13 (the 2013-2014) period could it still be claimed as part of the 2012-2013 net medical expenses?

 

Thanks!

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Hi @Red,

 

Welcome to our Community!

 

Generally speaking, eligible expenses can be claim in the financial year in which the expense was incurred. This usually means when an individual pays for an expense In your situation the expense was incurred on 01/07/2013 and if eligible they can claim the expense in the 2014 income tax return.

 

However, legislation changed to the eligibility for the net medical expense offset for the 2014 financial year, restricting who and what can be claimed. To be eligible, individuals must have received the offset in the 2012-13 income tax assessment, or, the expense must relate to disability aids, attendant care or aged care.

 

You can find more information about claiming the net medical expense for 2014 on our website, or you can phone us on 13 28 61 between 8am - 6pm, Monday to Friday to speak with an operator.

 

Thanks, JodieH.

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Taxicorn

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They would be when they incurred the medical expenses.

 

Highlighted

Best answer

Community Support

Replies 0

Hi @Red,

 

Welcome to our Community!

 

Generally speaking, eligible expenses can be claim in the financial year in which the expense was incurred. This usually means when an individual pays for an expense In your situation the expense was incurred on 01/07/2013 and if eligible they can claim the expense in the 2014 income tax return.

 

However, legislation changed to the eligibility for the net medical expense offset for the 2014 financial year, restricting who and what can be claimed. To be eligible, individuals must have received the offset in the 2012-13 income tax assessment, or, the expense must relate to disability aids, attendant care or aged care.

 

You can find more information about claiming the net medical expense for 2014 on our website, or you can phone us on 13 28 61 between 8am - 6pm, Monday to Friday to speak with an operator.

 

Thanks, JodieH.