Frequently Asked Questions
On your tax certificate, we give you the necessary information to complete your tax return:
- The line showing the amount for your contributions shows medical scheme contributions for this tax period only. Any backdated changes that apply to this tax period, but that were made after this certificate was created, will be shown on the tax certificate for the next tax period. If you get an IRP5 from your employer, you should rather refer to the contribution amount on the IRP5 when filling in your tax return. If you are a pensioner receiving post-retirement benefits, the IT3(a) will show this.
- "Claims not recovered from the Scheme" refers to claims the Scheme did not cover. For example, claims that went over the benefit limit would be shown here. We have included claims processed up to 28 February 2023.
- A breakdown showing the total number of active registrations, in other words the Principal member and his or her active dependants, for each month (you will need to list these on your tax return).
The tax certificate shows only the portion of your monthly contributions for which you can get a tax deduction: We consider only the portion of your monthly contribution paid to the medical scheme (including your Medical Savings Facility).
"Claims not covered from the Scheme" shows claims that the Scheme did not pay for, including any part of a claim not paid. These would be the sum of all processed in-hospital and out-of-hospital claims we did not pay for, due to, for example, your funds being depleted or your claims being more than your available benefit limits.
Amounts you paid upfront (for example, deductibles) are also included in this amount. We also include:
- A sum of all received money (for example, if you have left the Scheme mid-year and at that point, you owed money to the Scheme because you have used more money from your Medical Savings Facility (MSF) than what you have contributed).
The portion of your Medical Scheme contributions you can get a tax benefit on is calculated by a monthly maximum rand amount (a "capped amount") that is based on the number of people on your membership.
Visit the SARS website, www.sars.gov.za or contact your tax adviser for more information.
As we administer money within a savings component, we are required to tell you how much interest you have earned.
The amount on this certificate shows the total interest earned on the money left (if any) in your Medical Savings Facility.
The IT3(b) shows the interest you've earned on your Medical Savings Facility for the tax year. Interest is calculated in arrears. So, the interest is calculated at the beginning of the month based on the opening balance of the previous month.
The Scheme accrues contributions to the Medical Savings Facility monthly. Whatever you do not use for the current month earns interest.
If applicable, the closing balances for the Medical Savings Facility are printed on the respective certificates show the total contributions paid into these accounts, minus the claims paid, plus interest earned until 28 February 2023.
We consider claims processed (or changes to how the claim was processed) after 28 February 2023 for the next year's tax certificate. The Scheme reports the tax data as at 28 February 2023 to SARS and cannot issue manual tax certificates.
Your tax certificate should be printed with an 'authorised copy' watermark. If it doesn't, change your printer settings to print background colours and graphics.
We have made the tax certificate available on various service channels like the Interactive Voice Recording (IVR), website and via the Contact Centre to make it easily accessible to members for redelivery if required.
Our Tax Division liaises directly and annually with SARS to ensure that our tax certificates and claims summary information complies with SARS requirements. SARS has accepted this format for Libcare.
No, our Tax certificates outline the details that SARS requires.
No, the Tax certificate includes total values for contributions and claims expenses. SARS does not require the breakdown/summary when submitting Tax returns, SARS accepts the totals we provide on the certificate as valid (smaller size document to print or upload as part of the Tax return). A breakdown of total values is included on the Tax Summary document should members require the detail for any other reason.
The following information has been removed. SARS does not require this information when submitting Tax returns.
- Show the total contributions for the tax period and monthly split contribution breakdown.
- Medical Savings Facility Refund displayed (if your membership terminated during the tax year).
- Relationship of the dependants.
- Split of claims not paid per dependant.
The following information has been added, to include the details that is required by SARS and by the member to complete their tax return.
- Show the total spilt contributions for the tax period, as required by SARS.