Dáil Éireann Debate, Tuesday - 1 October 2013
182. Deputy Finian McGrath asked the Minister for Finance the exact tax treatments and-or reliefs available to the case No. 11435 when the final agreed fair deal bill is settled (details supplied); and if he will make a statement on the matter. [40537/13]
View answerBased on the information supplied I understand the Deputy’s question to refer to the tax treatment of any Financial Contribution made in respect of an individual under the Nursing Home Support Scheme Act 2009. Section 469 of the Taxes Consolidation Act 1997 provides for tax relief in respect of health expenses in the provision of health care incurred by an individual or an individual’s spouse or civil partner, on their own behalf or on behalf of someone else.
Any contribution made by an individual in defraying expenses in the nature of maintenance or treatment in a nursing home on behalf of an individual, where that individual has received State support under section 3 of the Nursing Home Support Scheme Act 2009, otherwise known as the “Fair Deal Scheme”, is treated as health expenses qualifying for relief. This relief is given at the marginal rate of tax but cannot exceed an amount which reduces the income tax liability for the year to nil.
The State support contribution towards the cost of such nursing home expenses under this scheme is not treated as a qualifying expense. Any health expenses, including any deferred payment in respect of the Financial Contribution, defrayed out of the estate of a deceased person by his or her executor or administrator are deemed to have been defrayed by the deceased person immediately before his or her death. Relief is granted to an individual after the end of the tax year by way of a claim made to the Revenue Commissioners by completing a tax return including form Med 1, or through the online services of ROS or PAYE Anytime.
