Is anyone being charged 10% for medicines on SIP card

Hi CasaKatie,

I've already replied to one of your earlier posts on the same subject:

Hi CasaKatie,

I wonder if this is Brexit-related, because UK citizens are now Third Country Nationals, rather than EU citizens.  My friend's husband is also below the income threshold, above which he previously received free prescriptions; however, he now has to pay 10%.  The Gov.UK website states:

"Spain uses a co-payment system where residents usually pay between 10% and 60% of the cost of prescription medication. How much you pay depends on your circumstances."

https://www.gov.uk/guidance/healthcare-in-spain-including-the-balearic-and-canary-islands#s1

Kind regards,

Kim

Hi Kim,  many thanks for your reply and the link.  I understand that but as my pension income is under the tax threshold,  I am surprised that I am being charged 10% now as previously as a dependent it was nil.  What the 'depends on your circumstances' isn't clarified anywhere or at least I can't find any mention of it.  Any ideas?

Kind regards. 

Hi CasaKatie,

I think that Gov.UK stating, "depends on your circumstances" translates to "ask Spain, not us", LOL!

A thought has occurred to me though: since obtaining and registering your own S1, have you submitted an annual resident's tax return?  The payment percentage for prescriptions in Spain does differ from person to person, as it's calculated on each individual's circumstances, but most importantly, it's also based on declared annual income.  Now that you have your own S1 and are no longer a dependant on your husband's, your percentage payment will be taken from information about your income, obtained from the annual resident tax declaration.  If you haven't made a tax declaration in Spain, the blanket charge for pensioners' prescriptions is 10% - and without your income information there's no cap on your monthly contribution.   So even if you've been advised that a tax return isn't necessary, given that your income level is below the Spanish tax threshold, you can see why it's in your interests to do so. 

All that said, if you have made a tax declaration since obtaining your own S1, I think you'll need to ask your local INSS office for an explanation.

Kind regards,

Kim

Hi, yes we have been tax residents several years, my husband pays tax but I don't as my income is below threshold and will be until next tax year as my state pension only kicked in mid 2020.  So I don't understand why I now pay 10% on a pittance and he pays nothing on prescriptions.   It's very difficult to get an appointment to even query this problem, any ideas?

Kind regards. 

Hi CasaKatie,

My question is, have YOU submitted a tax declaration in Spain, the Modelo 100?  A fiscal advisor can do the calculation and tell you that you don't have to pay tax because you don't earn enough, but unless you submit a tax return, the tax office won't know that and you will be treated as non-resident - that is one reason why you would be charged 10% of your prescription costs.

Kind regards, 

Kim

Hi Kim, yes our fiscal rep has submitted a tax return for the last 6/7 years which we pay her to do, but not sure if this is the Modelo 100 you refer to, I will ask her.

So you can see why I am querying these charges after paying nothing upto becoming a pensioner and submitting my S1 form recently. 

Kind regards.

Hi CasaKatie,

To be eligible for your own S1, you must have reached UK retirement age and now drawing your State pension - so has your additional pension income pushed you into the bracket where you now have to make a contribution to your prescriptions?  Your fiscal rep should be able to advise.

Kind regards, 

Kim