Deductible Medical and Dental Expenses

Medical expenses can be deducted:

• only if you itemized your deductions using Schedule A and
• only to the extent the total amount of deductible medical expenses exceeds 10 percent of the adjusted gross income shown on the return (7.5 percent if the taxpayer or spouse is over age 65).

So, if your adjusted gross income is $80,000, you can not deduct the first $8,000 of medical expenses that you incurred during the year ($6,000 of over age 65).

Warning The threshold for the medical expense deduction increased to 10 percent starting in 2013. However, it remains at 7.5 percent in 2013 if the taxpayer or spouse is over age 65.

The following items have been treated as deductible by the IRS:

• abortions, if legal
• acupuncture treatments
• alcoholism treatments, both inpatient treatments (including meals and lodging), and transportation costs to attend Alcoholics Anonymous meetings if you attend under medical advice
• ambulance payments
• artificial limbs
• birth control pills, injections, devices prescribed by a doctor
• breast-feeding (lactation) supplies
• Braille books and magazines, to the extent that they cost more than an ordinary book or magazine
• capital expenses for equipment installed in your home, to the extent that they don't increase the value of your home, provided that the main purpose is medical care for yourself, your spouse or a dependent, or to accommodate the residence to such a person's disabled condition. The following are not treated as increasing the value of your home: adding entrance or exit ramps; widening doorways or hallways; installing railings, support bars, or other modifications to bathrooms; lowering or modifying kitchen cabinets or equipment; moving or modifying electrical outlets or fixtures; installing lifts other than elevators; modifying stairways; installing handrails or grab bars; modifying hardware; or grading ground or making other modifications outside doorways. However, elevators and air conditioning systems generally do increase the value of your home to some extent, and would not be fully deductible. Any operation and upkeep expenses (such as electric bills) for such capital improvements would be deductible, even if the original improvement was only partly deductible.
• car modifications to accommodate a disability, and the amount by which a specially modified car costs more than an ordinary car, but not operating expenses for the car
• chiropractors
• Christian Science practitioners
• contact lenses, including the cost of equipment and supplies to clean and maintain them
• crutches, walkers, canes, etc. (purchased or rented)
• dental treatment including x-rays, fillings, braces, extractions
• dentures, bridges, and implants
• diagnostic devices (such as body sugar test strips)
• drug addiction treatments at an inpatient facility, including room and board
• drugs, if medically prescribed, and insulin, but not over-the-counter drugs
• eyeglasses and eye exams
• gender-reassignment surgery for those diagnosed with gender identity disorder
• guide dogs or other animals to help the blind, hearing impaired, or people with other physical disabilities; including food, veterinarian bills, and other care expenses
• HMO premiums, deductibles, and copayments
• hearing aids
• home care, to the extent the services are of a type generally performed by a nurse; most personal or household services don't qualify unless they qualify as long-term care (see below).
• hospital services, including room and board for inpatients
• insurance premiums for policies that cover hospitalization, surgical fees, X-rays, prescription drugs, replacement of lost contact lenses, and HMOs, PPOs, etc. Long-term care policies are also deductible within limits (see below). Insurance premiums are not deductible if they are exempt from tax because they are paid under an employer-sponsored plan. However, you can deduct any deductibles, copayments, and noncovered charges under your insurance plan.
• laboratory tests and fees
• lactation equipment expenses
• lead-based paint removal to prevent a child who has or has had lead poisoning from eating the paint. You can deduct the cost of removing or covering the paint with wallboard or paneling, but not the cost of repainting.
• legal fees that are necessary to gain access to mental health treatment or other medical treatment, but not for the management of a guardianship estate or financial affairs.
• lifetime care - advance payments for care under an agreement with a retirement home, or for treatment of dependents with disabilities
• lodging, up to $50 per night per person, while away from home to obtain medical care from a doctor or licensed medical facility, provided there's no element of vacation or lavish accommodations. You can deduct lodging for the person receiving the care and a companion.
• long-term care contracts, if they are guaranteed renewable; have no cash surrender value; provide that refunds other than in case of death or policy cancellation may be used only to reduce premiums or increase benefits; and cover medical, therapeutic, maintenance, and personal care required by a chronically ill person under a plan of care prescribed by a licensed health care practitioner. A chronically ill person must be unable to perform at least two activities of daily living without substantial assistance, or require substantial supervision to prevent injury due to cognitive impairment. Payments from such contracts are not taxed, up to $320 per day in 2013 ($330 per day in 2014). Any unreimbursed expenses are deductible. Also, premiums paid in 2013 for such insurance are deductible up to the following annual amounts:

  Age	Annual Amount
  40 or less	$ 360 ($ 370 in 2014)
  41 to 50	$ 680 ($ 700 in 2014)
  51 to 60	$ 1,360 ($ 1,400 in 2014)
  61 to 70	$3,640 ($3,720 in 2014)
  71 and above	$4,550 ($4,660 in 2014)

• long-term care to provide for assistance with tasks of daily living or for safety provided physician certifies such care is necessary for the health and/or safety of the individual
• medical conferences - amounts paid for transportation and admission (but not food and lodging) to attend a medical conference related to the chronic illness of yourself, your spouse or your dependent.
• medical information plans that keep your medical history available
• Medical Savings Account contributions are deductible on Form 8853, Archer MSAs and Long-Term Care Insurance Contracts, and not as an itemized medical deduction (Any amounts reimbursed by your medical savings account cannot be claimed as an itemized deduction.)
• medical services of physicians, surgeons, specialists, or other medical practitioners such as osteopaths and podiatrists
• Medicare Part B premiums deducted from Social Security checks, and Part A premiums for those who are not eligible for Social Security but voluntarily enroll in Medicare; Medicare payroll taxes are not deductible
• mentally handicapped group home costs, or those for similar disabilities
• nursing home costs, if the main reason for being there is to get medical care
• nursing services connected with caring for the patient's condition, as well as bathing and grooming, but not household help unless the expenses qualify as long-term care expenses (If the nursing services qualify, you can also deduct the cost of food and lodging for the nurse, as well as payroll taxes.)
• organ, bone marrow, etc. donation expenses, whether or not the donation is successfully completed
• oxygen and oxygen equipment
• physical examinations
• pregnancy test kits
• psychiatric care, psychoanalysis, and psychologist counseling but not marriage counseling
• schools, education, and tutoring costs for the blind, disabled, and learning disabled, including room and board
• sterilization
• stop-smoking programs and prescription drugs to alleviate nicotine withdrawals, but not over-the-counter skin patches or nicotine gum
• surgery that is legal and not purely cosmetic, even if it is elective
• telephone equipment for the hearing-impaired
• television modifications or special equipment for the hearing impaired
• therapy treatments, such as physical, occupational, or speech therapy
• transplants - costs of the donor or potential donor
• transportation to obtain medical care, for a parent who must go with a child who needs care, or for a nurse traveling with a patient. Transportation expenses for cars can be computed as the actual cost of gas and oil, or using the standard mileage rate. For 2013, the medical standard mileage rate was 24 cents per mile. You can add parking fees and tolls. You can also deduct bus or cab fare, train or plane tickets, etc.
• weight loss programs for treatment of specific diseases
• wheelchairs
• wigs purchased for an individual who has lost all of his or her hair, to improve mental health, if on the advice of a physician
• x-rays, MRIs, body scans, etc.