Solution:
In order to prove that SM and TN are parallel, it suffices to prove that both of them are perpendicular to ST. Due to symmetry, we will provide a detailed proof of SM⊥ST, whereas the proof of TN⊥ST is analogous. In this solution we will use the following notation: ∠BAC=α, ∠ABC=β, ∠ACB=γ.

We first observe that, due to the tangency condition, we have
∠SHB=∠HCB=90∘−β
Combining the above with
∠SBH=∠ABH=90∘−α
we get
∠BSH=180∘−(90∘−β)−(90∘−α)=α+β=180∘−γ
from which it follows that ∠AST=γ.
Since AH=HD, H is the midpoint of AD. If K denotes the midpoint of AB, we have that KH and BC are parallel. Since M is the midpoint of BH, the lines KM and AD are parallel, from which it follows that KM is perpendicular to BC. As KH and BC are parallel, we have that KM is perpendicular to KH so ∠MKH=90∘. Using the parallel lines KH and BC we also have
∠KHM=∠KHB=∠HBC
Now,
∠HMK=90∘−∠KHM=90∘−∠HBC=90∘−(90∘−γ)=γ=∠AST=∠KSH
so the quadrilateral MSKH is cyclic, which implies that ∠MSH=∠MKH=90∘. In other words, the lines SM and ST are perpendicular, which completes our proof.