When are medical and dependent care expenses incurred for purposes of a Cafeteria Plan?
A. Expenses are treated as having been incurred when the participant is provided with the medical care or the dependent care that gives rise to the expense, and not when the participant is formally billed, charged for, or pays for the expense. (Reg. Sec. 1.125-1 Q&A-17 and Q&A-18) Q. Can a participant request reimbursement for expenses incurred before they sign an election A. No. Expenses that are incurred before the later of the date the plan is in existence and the date the participant is enrolled in the plan will not be treated as having been incurred during the period for which the participant is covered by the plan. (Reg. Sec. 1.125-1 Q&A-17 and Q&A-18) Q.
Related Questions
- What types of medical expenses are covered under this protection plan? Can I claim for outpatient expenses incurred through sickness?
- Can I use the Cafeteria Plan for dependent care expenses and also the Dependent Care Credit on my federal tax return?
- When are medical and dependent care expenses incurred for purposes of a Cafeteria Plan?
