ACCT4405 Lecture Notes - Lecture 22: Itemized Deduction, Medical Necessity, Macrs
Document Summary
Reasonable: some courts are looking at this now. Specific work purchases can sometimes be deducted. Cannot deduct anything that is considered personal. Don"t want to discourage you from going to doctor, don"t want to harm old people. Can deduct in excess of 7. 5% of agi. Hurdle rate (if agi is 100 you need to spend more than . 50 to deduct your medical expenses) If your doctor prescribes it for a medical necessity you"re allowed to deduct it. Irs sometimes asks for receipts or disallows if you don"t send. Hsa funds aren"t deductible because you don"t pay taxes on them. Travel to medical facility is an expense, flights included. Special food diets required by the facility are allowed. If value of the house increases due to medical installation more than the price paid no deduction. Only allowed a deduction based on the value of your house after and how much basis you put in.
