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Can I write off medical expenses?

TL;DR

Yes, you can write off medical expenses, but only if they exceed 7.5% of your adjusted gross income and you itemize your deductions.

Detailed Answer

Medical expenses can be deducted if they are more than 7.5% of your adjusted gross income (AGI) for the tax year. This means if your AGI is $50,000, you can deduct the portion of your medical expenses that exceed $3,750. However, you must itemize your deductions to claim this. The expenses can include payments for the diagnosis, cure, mitigation, treatment, or prevention of disease, and for treatments affecting any part or function of the body. They include the costs of equipment, supplies, and diagnostic devices needed for these purposes. They also include dental expenses. However, you cannot deduct medical expenses that were paid by insurance or employers. Also, over-the-counter medicines, most cosmetic surgery, gym memberships, and other non-prescription treatments are not deductible.

Where to Put It on the Tax Form

These deductions are reported on Schedule A (Form 1040), line 1.

Real World Example

For example, if your AGI is $50,000, only medical expenses above $3,750 (7.5% of $50,000) can be deducted. So if you have $5,000 in medical expenses, you can deduct $1,250.

Calculation Required

A calculation is required for this deduction.

To calculate your medical expense deduction, you first need to calculate 7.5% of your AGI. Then, subtract this amount from your total medical expenses. The result is the amount you can deduct.

Audit Risk & Documentation Tips

Keep all receipts and records of your medical expenses, including statements from your insurance company and receipts for prescriptions and doctor visits. The IRS may request these documents if your return is audited.

IRS Reference

IRS Publication 502, Medical and Dental Expenses

Relevant Industries

FreelancersSmall BusinessSelf-EmployedRetirees

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Disclaimer: This is for informational purposes only and should not be construed as tax or legal advice. Always consult your tax advisor.

Page created on July 3, 2025