Claiming Medical Expenses Without Penalties

SARS is levying penalties for over-claiming medical expenses.

This means that should you give your tax practitioner a figure and not have sufficient supporting documents which includes invoice AND proof of payment/receipt, the deduction will be reduced as well as a penalty levied on the adjustment amount.

See example below:

Amount on medical cert not covered by medical scheme R 5 000
Amount paid out of own pocket R 25 000
Total medical expenses R 30 000

Sufficient supporting documents sent to SARS R 10 000
Amount disallowed and reduced R 20 000

Penalty (20 000 x 18%) x 50% R 1 800

- Supporting documents need to be provided for medical expenses not shown on the certificate as well as expenses paid out of pocket.
- Claimable medical expenses include consultation and prescription medicine only.

If you are unsure please contact Simone Maggott on