Think you have a pretty good idea about what the IRS considers a deductible medical expense, and what it doesn’t? How about an acupuncture treatment like the one pictured here?
Check out these medical procedures and products and learn whether the IRS views them as deductible health care expenditures:
Wig. You can include in your medical expenses the cost of a wig purchased on the recommendation of a physician due to hair loss from disease. But a hair transplant? Nope. The amount paid for procedures such as face lifts, hair transplants, hair removal and liposuction generally are not considered medical expenses by the IRS.
Dental work. The IRS considers teeth cleaning, fillings, sealants, fluoride treatments, X-rays and fillings to be medical expenses. Teeth whitening? Not so much. Don’t try to deduct the bill for your white teeth on your tax return. According to the IRS, it isn’t a medical expense
Weight loss program. A program that helps you lose weight is considered a medical expense if it is a treatment for a specific disease diagnosed by a physician, such as obesity, heart disease or hypertension. While the fees you pay for membership in a weight reduction group or plan is considered a medical expense, the cost of going to a gym, health club or spa is not.
Remember, you can deduct medical and dental expenses only if they total more than 7.5% of your adjusted gross income, or AGI. If your medical and dental expenses are less than 7.5% of your AGI, you cannot claim a deduction. Also, you can include only those medical expenses that you had to pay out of pocket; expenses that were paid by insurance companies or other sources are not eligible.
What do you think about acupuncture? According to the IRS, this holistic treatment is a medical procedure that qualifies for a tax deduction. If you want to see more examples of medical or health-related expenses that are deductible on your taxes, check out this IRS publication.