Criteria For Being Considered A Person With A Disability For Tax Purposes

First, the ‘Confirmation of Diagnosis of Disability’ form (ITR-DD) needs to be completed. This is used to determine whether the person is eligible per Section 6B of the Income Tax Act.

The form is divided into three parts. Part A needs to be completed by the person with the disability’s parent/guardian, which include the details of the person with the disability. Part B and C needs to be completed by a qualified medical practitioner specifically trained to deal with the applicable disability. Parts B and C includes questions to confirm that the person with the disability has a ‘moderate to severe’ disability for either vision, communication, physical, hearing, intellectual or mental disability.

The form only needs to be completed every five years for taxpayers whose child has a permanent disability.

Tax Benefits For A Person With A Disability

A taxpayer who, or whose child, has a disability confirmed by the submission of the ITR-DD form, can claim 33.3% of qualifying out-of-pocket medical expenses, which include disability related expenses paid during the relevant year of assessment.

SARS has prescribed a list of qualifying disability expenditure, which might qualify if incurred and was necessary for the alleviation of the restriction of a person’s ability to perform functions of daily living. Therefore, not all listed expenditure would qualify, but should be considered based on the applicable disability of the person.

Examples include the following:
  • Personal attendant care expenses
  • Training for person who care for the person with a disability
  • Special education schools
  • Tutoring services

Supporting Documentation Requirements

Invoices, statements and proof of payments for all qualifying expenses must be kept on record to substantiate the credit in the taxpayer’s tax return. 

Additional documentation is required for special education school expenses, as only the excess of the fees that would have been payable if the person attended the closest fee-paying public school not specialising in learners with special educational needs forms part of the qualifying expenses.

The information provided herein should not be used or relied on as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your professional adviser for specific and detailed advice.