Why aren't medical expenses deductible
- Thread starter Kewlies
- Start date
read the rules. [buried in burocratic trash].
they say that you can claim med or dental expenses IF they cost more than 3% of your total gross income for the year.
this rule allowed me to write off approximately $30k in dental surgery expenses after a car accident.
but please do research this. it CAN be done. you will need to keep copies of the medical or dental bills for later audit by ccra.
hope this helps
cheers
they say that you can claim med or dental expenses IF they cost more than 3% of your total gross income for the year.
this rule allowed me to write off approximately $30k in dental surgery expenses after a car accident.
but please do research this. it CAN be done. you will need to keep copies of the medical or dental bills for later audit by ccra.
hope this helps
cheers
good point.
i dont know, but then I'm one of those people who thinks that ohip should cover basic dental as well. ugh, we pay insane taxes; we deserve better service for what we pay.
i dont know, but then I'm one of those people who thinks that ohip should cover basic dental as well. ugh, we pay insane taxes; we deserve better service for what we pay.
Kewlies said:
Right Sheik, if one requires it then you can purchase health insurance privately (if you're self employed like I am). It is actually very reasonable considering the cost of health care these days.
As for OHIP and the tax burden we carry because of it. The NUMBER ONE reason (after the bureaucratic load) why our healthcare system is so overworked and expensive is the fact that many people rush off to their doctor or E.R. for any little cut bruise cough or ache. I have been in many E.R.s many times after getting hit in the head with a line drive, putting an airnail through my hand, slicing myself with a utility knife and after waiting hours to get in to see a doc I find half the beds are filled with people with the Flu....WTF. If I had my way if you go to a doc or ER with a cold or flu, you should be charged DIRECTLY for the cost of that visit.
As for OHIP and the tax burden we carry because of it. The NUMBER ONE reason (after the bureaucratic load) why our healthcare system is so overworked and expensive is the fact that many people rush off to their doctor or E.R. for any little cut bruise cough or ache. I have been in many E.R.s many times after getting hit in the head with a line drive, putting an airnail through my hand, slicing myself with a utility knife and after waiting hours to get in to see a doc I find half the beds are filled with people with the Flu....WTF. If I had my way if you go to a doc or ER with a cold or flu, you should be charged DIRECTLY for the cost of that visit.
Its called socialized medicine. The dogma requires them to pretend the need for additional coverage doesn't exist. Fuggin socialist bastards.
Why? Why medical expenses and not basic living expenses?
As several posters have pointed out, your care is your cost and your responsibility—not that I'd send the money back if there was full deductibility—and the 3% of income rule would seem to be based on a fairly low threshold for what the average person should budget to look after themselves. After that the rest of us taxpayers'll cut you some slack for medical hardship and pay a part of your share.
There is some responsibility each of us bear for own health and welfare.
There will always be 'line jumpers" who do not want to have a family doctor and are quite happy to wait 6 hours in an ER for a cold. And wait you will. Make no mistake they no the difference between serious and a sniffle.
The problem I have is with the 3% rule. There is an assumption that at a predetermined income you must deduct 3% before claiming the rest. It does not allow for catastrophic illness expenses. Many people who make large incomes are not always covered by insurance plans. If you are a sole proprietor or business owner you may not be able to pay for your own health insurance after your employees. Believe it or not..it does happen.
So yes..you get hit with sudden large medical bills. That 3% could amount to a lot of money. The more you make the more you spend. And don't say well they should have planned for it. Everyone should plan for out of pocket medical expenses, not just the so called rich. There is a huge difference between the Weston family and a guy making 200K a year.
I got hit with my SO needing an infusion for Crohn's disease every 4 weeks. The drug is listed as market value, not price fixed by the Ont government. Yes...this does happen. Each 4 week visit she needs 4 ampules of the drug. Each ampule runs around 1000 to 1500 dollars each depending on the week. Do the math. Each infusion is 4-6 thousand dollars. My insurance company is thank god covering this. My alternative would have been the Trillium fund. But still I would have absorbed a huge amount. My 3% would have been about 15k a year. That's 30K in income just to meet that bill alone.
Just because you make 200k doesn't mean you can suddenly make room for a 15K expense that is not tax deducible.
We all have our problems..but please don't dump on those who have done well and sacrificed a lot to get there.
M2
There will always be 'line jumpers" who do not want to have a family doctor and are quite happy to wait 6 hours in an ER for a cold. And wait you will. Make no mistake they no the difference between serious and a sniffle.
The problem I have is with the 3% rule. There is an assumption that at a predetermined income you must deduct 3% before claiming the rest. It does not allow for catastrophic illness expenses. Many people who make large incomes are not always covered by insurance plans. If you are a sole proprietor or business owner you may not be able to pay for your own health insurance after your employees. Believe it or not..it does happen.
So yes..you get hit with sudden large medical bills. That 3% could amount to a lot of money. The more you make the more you spend. And don't say well they should have planned for it. Everyone should plan for out of pocket medical expenses, not just the so called rich. There is a huge difference between the Weston family and a guy making 200K a year.
I got hit with my SO needing an infusion for Crohn's disease every 4 weeks. The drug is listed as market value, not price fixed by the Ont government. Yes...this does happen. Each 4 week visit she needs 4 ampules of the drug. Each ampule runs around 1000 to 1500 dollars each depending on the week. Do the math. Each infusion is 4-6 thousand dollars. My insurance company is thank god covering this. My alternative would have been the Trillium fund. But still I would have absorbed a huge amount. My 3% would have been about 15k a year. That's 30K in income just to meet that bill alone.
Just because you make 200k doesn't mean you can suddenly make room for a 15K expense that is not tax deducible.
We all have our problems..but please don't dump on those who have done well and sacrificed a lot to get there.
M2
I used to hand in all my receipts with my taxes each year. I have since got a job with a great benefits plan even fr entry level employees. Some days it's the ONLY reason I don't just walk out lol. I do think basic dental care ie cleanings should be covered under ohip though. that does suck.
Agreed Mark.
It's not uncommon for someone earning 100k to have kids, parents to look after, a roof over their head, car and other expenses. A catastrophic or long term illness can be taxing for many in that bracket. Health plans often offer limited coverage.
I'm really surprised more Canadians have not spoken out about this issue.
It's not uncommon for someone earning 100k to have kids, parents to look after, a roof over their head, car and other expenses. A catastrophic or long term illness can be taxing for many in that bracket. Health plans often offer limited coverage.
I'm really surprised more Canadians have not spoken out about this issue.
Actually, not true. It's not a flat 3%, it caps out at 1,844 for 2006. Anything over that you can claim, regardless of your income.MarkII said:
Rich people can deduct 100% of their medical expenses, even ridiculous things like cosmetic surgery. It is called "cost plus" from your group insurance provider. You hand your pseudo medical expense receipt, such as $5,000 breast implants, in to your group health insurance plan. The plan then bills your company $5,500 (they have to make their cut) for medical coverage, which the company pays, and takes the deduction. Then the insurance company issues you a cheque for $5,000 to reimburse your expense. It is perfectly legal, the company can generally decide which employees are allowed to make cost plus claims. So you can pay for your sexretaries implants too. Working people, on the other hand, can pay tax on their medical expenses. Two-tier? Not in Canada.
Yes it does allow for catastrophic illness expenses. They would cost more than 3% of you income, and they're deductible. It's hard to imagine say 5% of income expense being catastrophic—especially when the income involved is over 100K as you mentioned. What the tax boys are telling you, is to budget 3% to pay on your own, and they (i.e. we, the rest of us) will help you out beyond that. If 3% in your case is $15,000, so be it: you better budget that amount just like the sole-support mom whose 3% is $750.MarkII said:
