Tax relief for an operation
Discussion
There is generally no provision under UK tax law for tax relief to be claimed on medical expenses - whether you are in busines or whether you are in employment.
In some circumstances private medical insurance costs can be claimed and employers can claim some costs if they provide medical facilities for their employees.
However, the cost of a medical operation is normally not claimable.
In some circumstances private medical insurance costs can be claimed and employers can claim some costs if they provide medical facilities for their employees.
However, the cost of a medical operation is normally not claimable.
I don't think the original question was all that clear. BMW114 asks about claiming the cost of the operation against tax. What does he mean by this? Does he think that the government will somehow refund the full cost of the operation by reducing the overall tax bill by the actual cost of the operation. Or is he talking about tax relief, in which the tax bill is reduced by multiplying the cost of the operation by the patient's top rate of tax and refunding THAT amount?
Neither scanario is allowed for in UK TAX legislation. As I said earlier, medical operations (or any other medical costs) do not normally qualify for tax relief).
On a general point, individuals can make claims for "ALLOWABLE" expenses against their tax liability in a number of ways. If you are a PAYE employee, you would have to make a claim on the basis that the expense was incurred "wholly, exclusively and necessarilly" for teh purpose of your employment
If you run your own business, you can claim the expense in your business accounts if the expense was incurred "wholly and exclusively" for the purpose of your trade.
The Inland Revenue would not consider that medical costs would fall into either category of allowable costs.
Neither scanario is allowed for in UK TAX legislation. As I said earlier, medical operations (or any other medical costs) do not normally qualify for tax relief).
On a general point, individuals can make claims for "ALLOWABLE" expenses against their tax liability in a number of ways. If you are a PAYE employee, you would have to make a claim on the basis that the expense was incurred "wholly, exclusively and necessarilly" for teh purpose of your employment
If you run your own business, you can claim the expense in your business accounts if the expense was incurred "wholly and exclusively" for the purpose of your trade.
The Inland Revenue would not consider that medical costs would fall into either category of allowable costs.
Not curious at all. The vehicle would have been purchased wholly and exclusively for the purpose of the trade. Accordingly, running costs incurred in keeping the vehicle roadworthy would also be considered to be "wholly and exclusively for the purpose of the trade".
Medical costs would never be considered under tax law in such a manner (there are some rare exceptions which I won't go into at the moment). After all, you require medical costs to keep yourself fit and healthy - but being fit and healthy is not actually "wholly and exclusively for the purpose of your trade". The Inland Revenue would argue that you would want to be fit and healthy whether you were running your own business or not.
If you keep the "wholly and exclusively" logic in the back of your mind, it will help you realise what might be claimable and what might not.
Obviously, there are often grey areas and in many cases, it requires a visit to the courts for a judge to decide on what the correct interpretation of "wholly and exclusively" might mean - but it is a useful concept.
Medical costs would never be considered under tax law in such a manner (there are some rare exceptions which I won't go into at the moment). After all, you require medical costs to keep yourself fit and healthy - but being fit and healthy is not actually "wholly and exclusively for the purpose of your trade". The Inland Revenue would argue that you would want to be fit and healthy whether you were running your own business or not.
If you keep the "wholly and exclusively" logic in the back of your mind, it will help you realise what might be claimable and what might not.
Obviously, there are often grey areas and in many cases, it requires a visit to the courts for a judge to decide on what the correct interpretation of "wholly and exclusively" might mean - but it is a useful concept.
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