If you want to deduct payment for any type of medical expenditure this year, you must be aware of some new rules that apply to these types of deductions, as they may affect your return. If you are looking for deductions for medical or dental expenses, you should know the following guidelines.
Adjusted gross income-Your medical expenditure must exceed 7.5 percent of your adjusted gross income for the current tax year.
You must specify your deductions to claim any medical or dental expenses. These types of deductions do not form part of your federal tax return’s standard deduction. Payments during the tax year-Payments made during the 2018 tax year can only be claimed. If you paid by check, the date is usually considered the day on which you sent the check and not the date on which it was cashed. Out of Pocket Costs-If a third party or insurance plan has reimbursed any of your payments, you can’t claim them for deduction. You can only claim expenses paid for yourself, your spouse or your qualified dependent for medical and dental procedures. Travel-You can deduct travel costs for medical care. These may include items such as public transport, tolls, parking or ambulance payments. The standard mile reimbursement rate is 18 cents per mile driven if you provide your own transport.
No double dipping-If you have paid medical or dental expenses with a flexible expenditure account or a health savings account, you can not deduct the payments. In general, these payments come from plans that provide tax-free funds.