What are the rules and details about deducting
Medical and Dental Expenses
on your 1040 form?
The medical & dental deduction comes after line 37 – 7 – 8b so it won’t count to lower your MAGI Income for Covered CA.
Your medical expenses may save you money at tax time, but a few key rules apply. Here are some tax tips to help you determine if you can deduct medical and dental expenses on your tax return:
- Itemize. You can only claim your medical expenses that you paid for in the prior year if you itemize deductions on your federal tax return.
- Income. Include all qualified medical costs that you paid for during the year, however, you only realize a tax benefit when your total amount is more than 10 percent of your adjusted gross income.
- Temporary Threshold for Age 65. If you or your spouse is age 65 or older, then it’s 7.5 percent of your adjusted gross income. This exception applies through Dec. 31, 2016.
- Qualifying Expenses. You can include most medical and dental costs that you paid for yourself, your spouse and your dependents including:
- The costs of diagnosing, treating, easing or preventing disease.
- The costs you pay for prescription drugs and insulin.
- The costs you pay for insurance premiums for policies that cover medical care qualify.
- Some long-term care insurance costs.
- Travel Costs Count. You may be able to deduct travel costs you pay for medical care. This includes costs such as public transportation, ambulance service, tolls and parking fees. If you use your car, you can deduct either the actual costs or the standard mileage rate for medical travel. The rate is 23 cents per mile for 2015.
- No Double Benefit. You can’t claim a tax deduction for medical expenses paid with funds from your Health Savings Accounts or Flexible Spending Arrangements. Amounts paid with funds from those plans are usually tax-free.
- Use the Tool. Use the Interactive Tax Assistant tool on IRS.gov to see if you can deduct your medical expenses. It can answer many of your questions on a wide range of tax topics including the health care law.
- Exceptions and special rules apply. Costs reimbursed by insurance or other sources normally do not qualify for a deduction. For more examples of costs you can and can’t deduct, see
- IRS Publication 502, Medical and Dental Expenses.
Additional IRS Resources:
- Schedule A (Form 1040), Itemized Deductions
- Publication 969, Health Savings Accounts and Other Tax-Favored Health Plans
- IRC Section 213
See also Health Savings Accounts
IRC 213 a what medical expenses are deductible
What Are Medical Expenses?
What Expenses Can You Include This Year?
How Much of the Expenses Can You Deduct?
Whose Medical Expenses Can You Include?
What Medical Expenses Are Includible?
What Expenses Aren't Includible?
How Do You Treat Reimbursements?
How Do You Figure and Report the Deduction on Your Tax Return?
Sale of Medical Equipment or Property
Damages for Personal Injuries
Impairment-Related Work Expenses
Health Insurance Costs for Self-Employed Persons
Health Coverage Tax Credit
Life Insurance Buyers Guide
Free Instant Quotes - Including Subsidy Calculation
Same Price as Covered CA or Direct with Insurance Company!
Guaranteed Issue - No Pre X Clause
How to use our FREE Quote Engine, Subsidy Calculator and get the MOST from the experience.
When you get a FREE quote, you can also see the benefits, view actual brochures, MD and Hospital Lists all ONE easy process with no obligation & it can be anonymous. Enter your zip code, date of birth, family - household taxation relationships (MAGI - Definition), Estimated MAGI - Modified Adjusted Gross Income for the upcoming - current year. Last years tax return only gives an idea so that Covered CA can approve your advance tax credit to help pay premiums.
This website and are individual consultation are provided to you FREE of Charge! We are paid by Covered CA and/or the Insurance Companies to help you. When you fill out the Covered CA ONLINE Application, just appoint us as your agent under Find Help in the Upper Right Hand Corner so that we get paid for helping you. Click here for screen shots for more detail of how to do it. If you prefer, you can pay us a consultation fee in lieu of appointing us as your agent, for educational services only.
You can then see all the quotes on the exchange, showing the Cost Share Reduction - Enhanced Silver if available, subsidy - tax credit amount and your net premium. If you click "Off Exchange" you will see more plans and companies which may have larger provider lists. Scroll down for more screen shots.
Then click on "View Plan Details" - "View Doctor's & Providers" - to compare and get more information. Please note that the quote engine does not show enhanced silver, but shows silver at 70%. Check our chart for the better silver coverage. To apply, click on apply now or use the links in the right hand column, ON THIS PAGE, but it will have you redo the quote for that specific company. The price is the SAME, no matter if you use us, go direct to Covered CA or the Insurance Company, as mandated by law! If applying through Covered CA, be sure to sign the form to appoint us as your agent. It's not all the easy to figure out how to do it on their website.
If you have any questions email [email protected] or call us 310.519.1335
Related pages in MAGI – FAQs – What counts as Income? Section
- Alimony – From a Divorce Settlement
- Annuity Income? IRA, Pension # 1040 Line 4
- Calif. Earned Income Tax Credit
- Capital Gains – Line 6
- Caregiver Income?
- Charitable Donations
- Clergy – Housing Allowance?
- Debt Cancellation? Foreclosure?
- Educational Credits
- Employee Business Expense Unreimbursed
- Foreign Income IRC §911
- Fudging the Income or Deductions?
- Gambling Income & Losses – Other Income Line 21
- Gift Income?
- Interest Income – Line 8 a & b
- Itemize or use Standard Deduction?
- Life Insurance Proceeds
- Medical Expense Deduction – Line 40 Individual
- Military – Armed Forces
- Rental Income? Line 17
- Schedule C – Self-Employment Income – Line 12
- SDI State Disability Benefits Taxable?
- Sharing, Gig, On Demand, Access Economy, Air Bnb, Lyft, Uber
- Social Security Benefits Line 5 a & b
- Student Loan Interest?