If
you paid for medical or dental expenses in 2012, you may be able to get a tax
deduction for costs not covered by insurance.
1. You
must itemize.
·
You
can only claim medical and dental expenses for costs not covered by insurance
if you itemize deductions on your tax return.
2. Deduction
is limited.
·
You
can deduct medical and dental expenses that are more than 7.5 percent of your
adjusted gross income.
3. Expenses
paid in 2012.
· You
can include medical and dental costs that you paid in 2012, even if you
received the services in a previous year.
4. Qualifying
expenses.
· You
may include most medical or dental costs that you paid for yourself, your
spouse and your dependents. Some exceptions and special rules apply.
5. Costs
to include.
· You
can normally claim the costs of diagnosing, treating, easing or preventing
disease. The costs of prescription drugs and insulin qualify. The cost of medical,
dental and some long-term care insurance also qualify.
6. Travel
is included.
· You
may be able to claim the cost of travel to obtain medical care. That includes
the cost of public transportation or an ambulance as well as tolls and parking
fees. If you use your car for medical travel, you can deduct the actual costs,
including gas and oil. Instead of deducting the actual costs, you can deduct
the standard mileage rate for medical travel.
7. No
double benefit.
· Funds
from Health Savings Accounts or Flexible Spending Arrangements used to pay for
medical or dental costs are usually tax-free. Therefore, you cannot deduct
expenses paid with funds from those plans.
from IRS Tax Tip 2013-25:
