CPF Top up questions

[wahsmlj]

There are some ambiguities or unclear information in your query. I will make some assumptions with clarifications in red below in order to answer your questions.



From IRA website:

Amount of Tax Relief VC-MA

The amount of tax relief given to the*lowest*of the following:

1. Voluntary cash contribution directed specifically to Medisave Account or

2. Annual CPF contribution cap for the year, less Mandatory Contribution (MC)* or

3. Prevailing Basic Healthcare Sum(BHS)^, less the balance in Medisave Account before the voluntary cash contribution.

Yes your assumptions are all correct! Sorry I missed those out. Yes it is for 2020, and assumed CPF-MA 50K balance is start of 2020.

In this case,
1. Voluntary contribution is 10K
2. Cap less Mandatory Contribution is 37740 - (2220 x 12, assuming no bonus) = 11,100
3. BHS of 60K - balance before top up of 50K is 10K

So 10K will be tax-deductible.

Thank you very much maple96.

 

[776ALA]

It depends on how much you have in your MA on 31-Dec-19. Not 01-Jan-20.
If the amount in your MA is $57,200, the interest for 2019 will flow to SA. If your SA has reached FRS, it will flow to OA.

Thank you!

 

[Squaredot]

how do I topup cash to parent's medisave account and get tax relief for it?

Can do it online? Can't find this info.

 

[maple96]

how do I topup cash to parent's medisave account and get tax relief for it?

Can do it online? Can't find this info.

"MediSave Account only (tax deductible* for recipient only)"

Do u still want the topup info?

Here u go : https://www.cpf.gov.sg/members/FAQ/... for Employees&folderid=11177&ajfaqid=2184960

 

[BBCWatcher]

how do I topup cash to parent's medisave account and get tax relief for it?

As Maple96 pointed out, any tax relief associated with MA top ups is strictly self to self.

If your parent qualifies for tax relief — still working and earning a decent or better income, for example — then you can hand cash to your parent who then uses the cash to top up his/her own MediSave Account for his/her own tax relief.

Also, if your parent has not reached the Full Retirement Sum, you can top up his/her Retirement Account (or Special Account if your parent is under age 55) and get some tax relief for yourself if you otherwise qualify. The first $7,000 (total per year) into the RA/SA of one or more qualified family members is eligible for tax relief. For example, if you have two parents who have not reached the FRS, you can top up each of their RAs by $3,500 (each) within this month (December, 2019) and then another $3,500 each next month (January, 2020) to be eligible for $7,000 of tax relief (yours) twice, in both tax years.

 

[maple96]

As Maple96 pointed out, any tax relief associated with MA top ups is strictly self to self.

If your parent qualifies for tax relief — still working and earning a decent or better income, for example — then you can hand cash to your parent who then uses the cash to top up his/her own MediSave Account for his/her own tax relief.
.

"MediSave Account only (tax deductible* for recipient only)"

Do u still want the topup info?

Here u go : https://www.cpf.gov.sg/members/FAQ/... for Employees&folderid=11177&ajfaqid=2184960

Did u click on the link to read what is there?

Some key extracts to counter your disputes:

"You can make Voluntary Contribution (VC) either to yourself or on behalf of someone else either to:

all 3 CPF Accounts (non-tax deductible); or
MediSave Account only (tax deductible* for recipient only).

You are encouraged to make VC early. All applications and payments should reach CPF Board by 10am of the last working day of the year to enjoy tax relief for the following year’s Tax Assessment and for it to be counted as the year’s CPF Annual Limit.

You can refer to the service standards for processing of VC applications.

 

[BBCWatcher]

Did u click on the link to read what is there?

Yes, and we've been through this. CPF's posted information on that page about MediSave-related tax relief eligibility conflicts with the Income Tax Act as literally written. IRAS is the agency responsible for assessing taxes and calculating tax reliefs, not CPF. Out of an abundance of caution I recommend qualifying for tax relief within the letter of the Income Tax Act, which in this case means handing cash to somebody who then uses the cash to top up his/her own MA for his/her own tax relief.

If something else works in practice, great, fantastic, but the Income Tax Act is quite clear about this particular detail. And if there's ever any tax dispute, you really want to be following what the Income Tax Act requires.

 

[maple96]

Yes, and we've been through this. CPF's posted information on that page about MediSave-related tax relief eligibility conflicts with the Income Tax Act as literally written. IRAS is the agency responsible for assessing taxes and calculating tax reliefs, not CPF. Out of an abundance of caution I recommend qualifying for tax relief within the letter of the Income Tax Act, which in this case means handing cash to somebody who then uses the cash to top up his/her own MA for his/her own tax relief.

If something else works in practice, great, fantastic, but the Income Tax Act is quite clear about this particular detail.

Did u click on the link to read what is there?

Some key extracts to counter your disputes:

"You can make Voluntary Contribution (VC) either to yourself or on behalf of someone else either to:

all 3 CPF Accounts (non-tax deductible); or
MediSave Account only (tax deductible* for recipient only).

You are encouraged to make VC early. All applications and payments should reach CPF Board by 10am of the last working day of the year to enjoy tax relief for the following year’s Tax Assessment and for it to be counted as the year’s CPF Annual Limit.

You can refer to the service standards for processing of VC applications.

U are wrong, dun expect old uncles/aunties who are immobile and not IT savvy to do it themselves. But u can continue your own views.

And plse read the rest and admit your mistakes and fake info in the other threads that there is not service standards, paynow is not instant, etc, plus the correct cutoff time provided by CPFB!

 

[BBCWatcher]

U are wrong, dun expect old uncles/aunties who are immobile and not IT savvy to do it themselves.

You're now arguing with the Income Tax Act, not with me. I suggest you go read it. I helpfully provided the link.

 

[maple96]

You're now arguing with the Income Tax Act, not with me. I suggest you go read it. I helpfully provided the link.

U are telling forumers here that CPFB website provides fake info on IRAS related info.

I will report to CPFB then.

 

[BBCWatcher]

U are telling forumers here that CPFB website provides fake info on IRAS related info.

I will report to CPFB then.

Great, please do that. To be more precise, please inform the CPFB that that particular information they've posted to their Web site is inconsistent with (or at the very least unclear with respect to) the Income Tax Act as literally written. If, for example, Parliament then decides it wants to amend the Income Tax Act to align with what the CPFB has posted to their Web site, that's their call.

 

[maple96]

Great, please do that. To be more precise, please inform the CPFB that that particular information they've posted to their Web site is inconsistent with (or at the very least unclear with respect to) the Income Tax Act as literally written. If, for example, Parliament then decides it wants to amend the Income Tax Act to align with what the CPFB has posted to their Web site, that's their call.

U be prepared to face the consequences.

If u think u have interpreted the Income Tax Act correctly, that's your problem.

I have studied Income Tax Act and other laws more than decades ago in the local U, it is not the way u have interpreted. But I let CPFB deal with u for "flaming" them.

I will quote all your posts and submit to CPFB.

Including your fake news in the other thread where u claimed multiple times that CPFB do not have service standard for Medisave voluntary contribution using Paynow.

 

[BBCWatcher]

I will quote all your posts and submit to CPFB.

You're welcome to do that, and all these posts are publicly available anyway.

Including your fake news in the other thread where u claimed multiple times that CPFB do not have service standard for Medisave voluntary contribution using Paynow.

Nobody, including you, has yet posted any link to any CPF service standard for MediSave top ups via PayNow QR. CPF has posted a service standard for RSTU via PayNow QR, and I've provided the link to that service standard. I've also provided the link to all the MediSave-related service standards that CPF has published.

And service standards are not member guarantees (with full recourse and remedies) anyway.

If you've got such a link, post it. Do you need information on how to post a Web link here?

 

[maple96]

So u have not been reading all the posts I made, even highlighted in red

What have u been doing the whole of this morning?

And u still wrote u read the link I posted

You're welcome to do that, and all these posts are publicly available anyway.

Yes publicly available, but need to be circulated to CPFB to make them aware.

Nobody, including you, has yet posted any link to any CPF service standard for MediSave top ups via PayNow QR. CPF has posted a service standard for RSTU via PayNow QR, and I've provided the link to that service standard. I've also provided the link to all the MediSave-related service standards that CPF has published.

Open your eyes, read all the prior posts I made this morning, repeatedly telling u to read and admit your mistakes!

And service standards are not member guarantees (with full recourse and remedies) anyway.

If you've got such a link, post it. Do you need information on how to post a Web link here?

"MediSave Account only (tax deductible* for recipient only)"

Do u still want the topup info?

Here u go : https://www.cpf.gov.sg/members/FAQ/... for Employees&folderid=11177&ajfaqid=2184960

Did u click on the link to read what is there?

Some key extracts to counter your disputes:

"You can make Voluntary Contribution (VC) either to yourself or on behalf of someone else either to:

all 3 CPF Accounts (non-tax deductible); or
MediSave Account only (tax deductible* for recipient only).

You are encouraged to make VC early. All applications and payments should reach CPF Board by 10am of the last working day of the year to enjoy tax relief for the following year’s Tax Assessment and for it to be counted as the year’s CPF Annual Limit.

You can refer to the service standards for processing of VC applications.

U are wrong, dun expect old uncles/aunties who are immobile and not IT savvy to do it themselves. But u can continue your own views.

And plse read the rest and admit your mistakes and fake info in the other threads that there is not service standards, paynow is not instant, etc, plus the correct cutoff time provided by CPFB!

This will be my last post with u on this matter! Never dealt with any forumer like u! Wasting all our time here!

 

[tangent314]

CPF's My Request page does not provide an option to top up another person's MA or CPF. So either there's another way to do it that I'm not seeing, the FAQ is mistaken, or the FAQ is meant to be read "...by passing the money to your recipient and they do it themselves"

 

[BBCWatcher]

Maple96 still hasn't posted any link to CPF's service standard for MediSave top ups via PayNow QR, but fortunately somebody else may have found it!

I found CPF's service standard for a "Voluntary contribution for non self-employed" via PayNow QR (direct document link, in the "Others"/"Other CPF Matters" category, on page 4). I think we can fairly assume that CPF includes MediSave top ups (voluntary MediSave contributions) within that particular service standard, absent clear information to the contrary.

As a reminder, CPF's service standards are how CPF benchmarks its own performance. They are not performance guarantees, with guaranteed effective recourse and full remedies to CPF members should the organization not live up to its service standards.

 

[maple96]

Maple96 still hasn't posted any link to CPF's service standard for MediSave top ups via PayNow QR, but fortunately somebody else may have found it!

I found CPF's service standard for a "Voluntary contribution for non self-employed" via PayNow QR (direct document link, in the "Others"/"Other CPF Matters" category, on page 4). I think we can fairly assume that CPF includes MediSave top ups (voluntary MediSave contributions) within that particular service standard, absent clear information to the contrary.

As a reminder, CPF's service standards are how CPF benchmarks its own performance. They are not performance guarantees, with guaranteed effective recourse and full remedies to CPF members should the organization not live up to its service standards.

U are a real joker, moneymind forumers have eyes to read that I have posted both here and in another thread, but u continue to deny and refuse to admit your mistakes

"cannot remove the blindspot"

 

[maple96]

CPF's My Request page does not provide an option to top up another person's MA or CPF. So either there's another way to do it that I'm not seeing, the FAQ is mistaken, or the FAQ is meant to be read "...by passing the money to your recipient and they do it themselves"

oops, I already sent email to CPFB, forgot to add that a HWZ moderator also helps to flame CPFB on this matter

Edit: Wah can u imagine if CPFB confirms the fake news, what could happen? This post implies HWZ "endorse" the fake news, and who will be ban? Whistleblower?

 

[nautilus]

CPF's My Request page does not provide an option to top up another person's MA or CPF. So either there's another way to do it that I'm not seeing, the FAQ is mistaken, or the FAQ is meant to be read "...by passing the money to your recipient and they do it themselves"

Use the ecashier page to do so.

 

[cal3135]

Using the same method of access as u, I’m able to RSTU or MA TOP up; on the next few pages. U may try again.

CPF's My Request page does not provide an option to top up another person's MA or CPF. So either there's another way to do it that I'm not seeing, the FAQ is mistaken, or the FAQ is meant to be read "...by passing the money to your recipient and they do it themselves"

🍎xsmax HardwareZone Forums app