Medical scheme fees tax credit — 2026/27 monthly amounts
Section 6A of the Income Tax Act gives a fixed monthly medical scheme fees tax credit that reduces PAYE for employees contributing to a registered medical scheme.
Payroll Africa Editorial · SARS Payroll Compliance Team
The Payroll Africa editorial team is composed of registered tax practitioners, payroll administrators and BCEA specialists who maintain the SARS PAYE, UIF, SDL and ETI engines that power the platform. Every article is reviewed against the current SARS BRS and Basic Conditions of Employment Act before publication.
- SARS registered tax practitioners
- SAPA-affiliated payroll administrators
- BCEA and LRA compliance reviewers
Last updated 30 Sept 2026
Monthly credit amounts (2026/27)
- R376 per month for the main member
- R376 per month for the first dependant
- R254 per month for each additional dependant
- IRP5 source code 4116 (medical scheme fees tax credit)
- Applied automatically each month by Payroll Africa
Additional medical expenses (Section 6B)
Out-of-pocket medical expenses may qualify for an additional tax credit under Section 6B on the employee's ITR12 tax return — this is not applied through payroll.
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