VAT on private health insurance

Re: VAT on Private Health Insurance

EDITOR, The Tribune.

I am a senior citizen and pensioner living on fixed income with private health insurance. Despite the exorbitant cost of the insurance, I maintain it because I have pre-existing conditions, my medical bills have steadily been increasing as I age and I do not wish to be a burden on the state.

However, I was dismayed to learn that under the Value Added Tax (VAT) regime, I will be penalised for having health insurance in the following ways:

1) I must now pay VAT on my monthly insurance premiums. Currently, I pay a monthly premium of $1,018. Hence, I must now pay an additional $76.35 which brings my monthly health insurance payment to just under $1,100.

2) My premium is likely to be further increased because many of those currently insured have indicated that they will drop their coverage because of the increased cost. Hence, a smaller pool of insured people could easily result in increased premiums.

3) I am being doubly taxed in that in addition to paying VAT on monthly premiums, I must also pay the tax again on all out of pocket expenses when I receive medical services.

4) I am further disfranchised because I do not receive the VAT exemption extended to public patients who are 65 years and older.

In light of the aforementioned, I am pleading with the government to reconsider the matter and exempt health insurance from VAT.

I also encourage insurance industry stakeholders and those with health insurance to join the effort and likewise lobby the government to correct this matter.

I look forward to a favourable response.

E MILLER

Nassau,

June 30, 2015.

Comments

Thinker says...

I hope government stops teifing but it looks like the Mob has got us.

Posted 8 July 2015, 7:27 p.m. Suggest removal

EnoughIsEnough says...

i sympathize completely with E. Miller. Putting a VAT on medical insurance just makes it that much more unaffordable for so many people who will end up giving up their insurance and will instead be a greater burden on the country's "free" medical. I pay a fortune each month for private medical and am very angry to have to pay additionally on top of that. This is just assinine.

Posted 9 July 2015, 11:58 a.m. Suggest removal

jackbnimble says...

I couldn't agree more. We are being taxed up the ying yang. I mean, come on! We need heath insurance which increases every year. Jesus, give us a break with the tax already. What's next? Tax us to use the darned bathroom?

Posted 9 July 2015, 12:51 p.m. Suggest removal

ohdrap4 says...

i dropped mine a few years ago because my mediacl expesens have never met my monthly premiums plus deductible.

no, i do not consider myself a burden to the public health system, as i am paying for that.

since what i pay intaxes go to take care of illegal immigrants, they owe me.

Posted 9 July 2015, 1:48 p.m. Suggest removal

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