Medical Expenses

Net medical expenses tax offset changes

The net medical expenses tax offset is being phased out.

To be eligible for the offset this year, the taxpayer needs to have received the offset in their 2012-13 income tax assessment. Similarly, to claim the offset in 2014-15, they need to have received the offset in 2013-14. 2014-15 is the final year they can claim. The out of pocket thresholds apply in addition to adjusted taxable incomes to determine the offset percentage to be applied – either 20% or 10%.

This does not apply to your taxpayers with medical expenses relating to disability aids, attendant care and aged care who can claim these related medical expenses until 30 June 2019