- Days left
If you itemize your deductions on your personal tax return, you may be able to take a deduction for medical expenses you paid during the year. The catch is that you can only deduct the expenses that exceed 7.5% of your adjusted gross income. You probably won't get over that threshold unless your income was very low and/or your medical expenses were very high.

What medical expenses are deductible? Typically the normal medical expenses we all think of are deductible: doctor visits, hospital stays, dentist visits, prescriptions, normal medical procedures, ambulance services, physical therapy, eyeglasses, and the like.

What's not deductible? More unusual items, such as elective cosmetic surgery, illegal drugs, dancing lessons, hair removal, hair transplants, and health club dues.

The IRS has a lengthy list of items that it specifically defines as deductible and not deductible in Publication 502.

Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.

Increase your money and finance knowledge from home

Goal Setting

Want to succeed? Then you need goals!

View Course »

How to Buy a Car

How to get the best deal and buy a car with confidence.

View Course »

TurboTax Articles

When the IRS Classifies Your Business as a Hobby

If your business claims a net loss for too many years, or fails to meet other requirements, the IRS may classify it as a hobby, which would prevent you from claiming a loss related to the business. If the IRS classifies your business as a hobby, you'll have to prove that you had a valid profit motive if you want to claim those deductions.

Add a Comment

*0 / 3000 Character Maximum