If you are itemizing deductions, the IRS generally allows you a medical expenses deduction if you have unreimbursed expenses that are more than 7.5% of your adjusted gross income (AGI) . To receive a tax benefit, you have to itemize deductions on Schedule A, and your total itemized deductions, including deductible medical expenses, state and local taxes, home mortgage interest, and charitable contributions, must be greater than your standard deduction. Here is a list of some of the medical expenses that can be deducted:
- Acupuncture
- Addiction treatment
- Braille publications
- Chiropractic services for medical care
- Contact lenses
- Dental treatment
- Diagnostic tests
- Doctor visits
- Eye exams
- Hearing aids and batteries
- Hospital services
- Insurance premiums
- Laboratory fees
- Long-term care services
- Medical equipment
- Medical supplies
- Nursing home care
- Prescription drugs
- Psychiatric care
- Therapy treatments
It is important to note that you can only deduct unreimbursed medical expenses, and if your insurance covered the expense or your employer reimbursed you for it, then you can’t take the deduction. Additionally, the IRS generally disallows the deduction for most cosmetic procedures, nonprescription drugs (except insulin), nonprescription nicotine gum and patches, general toiletries (e.g., toothpaste and cosmetics), trips and programs to improve your general health, and most cosmetic surgery.
