About Tax Deductions for Medical Expenses

An accident or serious illness can result in major medical expenses. Recognizing the serious impact this causes to an individual or family's life, the U.S. government makes these expenses deductible under certain conditions.

Considerations

Only taxpayers who itemize their deductions using Form 1040, Schedule A can claim a tax deduction for medical expenses.

Limitations

You can claim only those medical expenses which were not reimbursed and are greater than 7.5% of your adjusted gross income.

Types

Medical expenses that can be deducted include payments to doctors, dentists, psychiatrists/psychologists as well as fees for hospitals, qualified long-term care, nursing care and lab fees. In addition, prescription eyeglasses, contact lenses, hearing aids and wheelchairs are deductible. Check the IRS topic sheet (See Reference) for a complete list.

Features

Your own medical expenses and those incurred by your spouse and dependents can be deducted.

Warning

Although you can include accident, health, or long-term care insurance premiums in your medical expenses, you may not include premiums for life insurance or policies that provide income when you are out of work.

References

• IRS: Medical and Dental Expenses