Private ruling: Medical expenses tax offset
Published: February 2012
Ruling period: Year ended 30 June 2011
Date scheme commenced: 1 July 2010

Ruling: Q1: Do your ski goggles qualify as a 'medical expense' for the purposes of the medical expenses tax offset? | A1: Yes

Relevant facts and circumstances: An optometrist gave you a prescription for lenses. You purchased a pair of prescription ski goggles. The lens in the ski goggles was made to the specifications of your prescription.

Relevant legislative provisions: Income Tax Assessment Act 1936 Section 159P.

Reasons for decision: Summary: Section 159P Income Tax Assessment Act 1936 (ITAA 1936) allows a tax offset in respect of medical expenses. For the 2010-11 income year, the tax offset represents 20 per cent of your net medical expenses over $2000. Net medical expenses are the medical expenses you have paid less any refunds you got, or you could get from Medicare or a private health fund. 'Medical expenses' is defined in subsection 159P(4) of the ITAA 1936, and includes payments for: · the testing of eyes or the prescribing of spectacles by a person legally qualified to perform those services; or · the supply of spectacles in accordance with any such prescription The term 'spectacles' is not defined in the ITAA 1936; accordingly it takes its ordinary meaning. The Macquarie Dictionary defines spectacles as a device to aid defective vision or to protect the eyes from light, dust, etc., consisting usually of two glass lenses set in a frame which rests on the nose and is held in place by pieces passing over or around the ears ( The Macquarie Dictionary, [Multimedia], version 5.0.0, 1/10/01). Ski goggles aid defective vision and protect the eyes while skiing. The goggle lens is set in a frame which rests on the nose and is held in place by a band that passes around the ears. It is considered that ski goggles fall within the definition of spectacles. In your case you purchased prescription ski goggles. Your goggle lens was made to the specifications of the prescription you were provided by an optometrist. Accordingly, your ski goggles qualify as a medical expense for the purposes of the medical expenses tax offset.

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