Tax Relief on Cash Top-ups Made to MediSave Accounts of Family Members and Dependants

Debated in Parliament on 1 Mar 2021.

Summary written by AI (learn more)

Don Wee asked whether tax relief could be granted on cash top-ups made to MediSave accounts of family members and dependants.
Heng Swee Keat explained that tax relief is currently given for voluntary cash top-ups to one’s own MediSave Account, with caps to prevent disproportionate benefits for the wealthy.
Tax relief for top-ups to family members’ MediSave accounts is accorded to the recipients, not the top-up payer.
MediSave can also be used directly for family members’ medical expenses within withdrawal limits.
The Government will continue reviewing policies to ensure relevance and to encourage family support.

Questions identified by AI (learn more)

Full Transcript

Don Wee

Mr Don Wee asked the Deputy Prime Minister and Minister for Finance whether the Ministry will consider granting tax relief on cash top-ups made to the MediSave accounts of family members and dependants.

Heng Swee Keat

We provide tax relief to those who make voluntary cash top-ups to their own MediSave Account (MA), up to the annual CPF contribution cap (which takes into account mandatory CPF contributions) and the overall personal income tax relief cap. Taxpayers can also top up the MA of their family members on their behalf, with the tax relief accorded to the recipients.

The tax relief is subject to caps so that the most well-off do not disproportionately benefit from it.

Besides cash top-ups, members can also use their own MediSave monies to support their family members' medical expenses, subject to the applicable MediSave withdrawal limits.

The Government will continue to review our policies to ensure they remain relevant and to encourage family support.

Summary written by AI (learn more)

Don Wee asked whether tax relief could be granted on cash top-ups made to MediSave accounts of family members and dependants.
Heng Swee Keat explained that tax relief is currently given for voluntary cash top-ups to one’s own MediSave Account, with caps to prevent disproportionate benefits for the wealthy.
Tax relief for top-ups to family members’ MediSave accounts is accorded to the recipients, not the top-up payer.
MediSave can also be used directly for family members’ medical expenses within withdrawal limits.
The Government will continue reviewing policies to ensure relevance and to encourage family support.

Questions identified by AI (learn more)

Tax Relief on Cash Top-ups Made to MediSave Accounts of Family Members and Dependants | PAPERCUTS

Tax Relief on Cash Top-ups Made to MediSave Accounts of Family Members and Dependants

Debated in Parliament on 1 Mar 2021.

Summary written by AI (learn more)

Don Wee asked whether tax relief could be granted on cash top-ups made to MediSave accounts of family members and dependants.
Heng Swee Keat explained that tax relief is currently given for voluntary cash top-ups to one’s own MediSave Account, with caps to prevent disproportionate benefits for the wealthy.
Tax relief for top-ups to family members’ MediSave accounts is accorded to the recipients, not the top-up payer.
MediSave can also be used directly for family members’ medical expenses within withdrawal limits.
The Government will continue reviewing policies to ensure relevance and to encourage family support.

Questions identified by AI (learn more)

Full Transcript

Don Wee

Heng Swee Keat

The tax relief is subject to caps so that the most well-off do not disproportionately benefit from it.

Besides cash top-ups, members can also use their own MediSave monies to support their family members' medical expenses, subject to the applicable MediSave withdrawal limits.

The Government will continue to review our policies to ensure they remain relevant and to encourage family support.

Summary written by AI (learn more)

Don Wee asked whether tax relief could be granted on cash top-ups made to MediSave accounts of family members and dependants.
Heng Swee Keat explained that tax relief is currently given for voluntary cash top-ups to one’s own MediSave Account, with caps to prevent disproportionate benefits for the wealthy.
Tax relief for top-ups to family members’ MediSave accounts is accorded to the recipients, not the top-up payer.
MediSave can also be used directly for family members’ medical expenses within withdrawal limits.
The Government will continue reviewing policies to ensure relevance and to encourage family support.

Questions identified by AI (learn more)

Tax Relief on Cash Top-ups Made to MediSave Accounts of Family Members and Dependants

Summary

Questions Identified

Full Transcript

Don Wee

Heng Swee Keat

Summary

Questions Identified

Tax Relief on Cash Top-ups Made to MediSave Accounts of Family Members and Dependants

Summary

Questions Identified

Full Transcript

Don Wee

Heng Swee Keat

Summary

Questions Identified