Use your medical aid tax certificate

By now you would probably have received your medical aid tax certificate for the previous financial year. File your certificate safely, as you can use it to reduce the personal income tax you have to pay. This is because the Income Tax Act makes provision for tax rebates (medical tax credits).

The amount of credits receivable by an average family – two adults and two children – for the 2018 tax year was R12 168. This has been increased by 2.3%, to R12 456, for the 2019 financial year.

It is expected that these medical expense tax credits will be removed over time in order to fund the National Health Insurance (NHI)‚ but for at least the present, medical expense tax credits can still be used to reduce the tax payable by a household that contributes to a medical scheme.

You can also deduct certain qualifying additional out-of-pocket medical expenses from your taxable income. Read more about these deductions here.