Making Sense of Medical Tax Credits in South Africa

Let’s face it — medical costs can be overwhelming. Whether it’s your monthly medical aid premium or those unexpected visits to the doctor, it all adds up. But did you know that South Africa’s tax system offers a way to ease some of that financial pressure? It’s called the Medical Tax Credit (MTC) and the Additional Medical Expenses Tax Credit (AMTC). Let’s break it down in simple terms.

What is the Medical Tax Credit (MTC)?

Think of the MTC as a monthly tax rebate for being part of a registered medical aid. It’s not cash in your pocket, but it does reduce the amount of tax you owe, which is always a win. Here’s how it works for the 2024/2025 tax year:
      • R364 per month for you (the main member)
      • R364 for your first dependent
      • R246 for each additional dependent
So, if you’re a family of four, that’s a decent chunk off your tax bill every month!

What is the Additional Medical Expenses Tax Credit (AMTC)?

Now, what about those medical bills your medical aid doesn’t cover? That’s where the AMTC comes in. It helps you get some tax relief for out-of-pocket expenses you cover when your benefits are exhausted like:

  • Doctor visits
  • Dental and optical
  • Prescribed medication
  • Blood tests and x-rays

Here’s the Deal

If no one in your family has a disability, you can claim 25% of the amount that exceeds 7.5% of your taxable income.

If you, your spouse, or a child dependent has a disability, you can claim 33.3% of all qualifying medical expenses, with no income threshold required. There is a rather complex formula that SARS uses to calculate the actual AMTC you are entitled to. To make it easy for you, see the calculator below. By inputting some data, the calculator will show you if you are eligible for a tax rebate.

Why You Should Always Submit Medical Claims — Even If You’re Not Reimbursed

Here’s a tip that could save you time and money: always submit your medical claims to your medical aid, even if your benefits are maxed out. Why? Because those claims show up on your medical aid’s tax certificate, which you’ll need when submitting your tax return.

Let’s say you paid R5,000 out-of-pocket for a specialist visit. If you submitted the claim, even though it wasn’t reimbursed, it will appear on your tax certificate — making it easier to claim under AMTC.

Less Admin, More Peace of Mind

When your medical aid tax certificate includes all your expenses, you don’t have to dig through drawers for receipts or worry about SARS rejecting your claim. It’s all there, neatly documented.

Pro Tip: Keep Your Records

Even if you submit everything to your medical aid, it’s smart to keep:

      • Copies of invoices and receipts
      • Proof of payment
      • Doctor’s notes (especially for disability claims)

Final Thoughts

Medical tax credits might not be the most exciting topic, but they can make a real difference to your finances. By understanding how MTC and AMTC work — and by submitting all your claims — you’re setting yourself up for a smoother tax season and potentially some valuable savings.
Tax Credit 2025 Calculator

Tax Credit 2025 Calculator

Monthly MTC: -

Annual MTC: -

Annual AMTC: -

Total Tax Benefit: -

Every effort has been made to ensure the accuracy of the calculations and information provided in this document. However, the final assessment and determination of tax liabilities remains the responsibility of the taxpayer.

Stay Compliant. Stay Secure.
Don’t miss out on the valuable tax credits you’re entitled to. Get a clear understanding of the MTC and AMTC to ensure you’re reducing your tax liability and keeping more of your hard-earned money.

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