Paul, age 62, suffers from emphysema and severe allergies and, upon the recommendation of his physician, has a dust elimination system installed in his personal residence. In connection with the system, Paul incurs and pays the following amounts during 2016:
Doctor and hospital bills .............................................$ 2,500
Dust elimination system ..............................................10,000
Increase in utility bills due to the system ..............................450
Cost of certified appraisal ................................................300
In addition, Paul pays $750 for prescribed medicines.
The system has an estimated useful life of 20 years. The appraisal was to determine the value of Paul's residence with and without the system. The appraisal states that his residence was worth $350,000 before the system was installed and $356,000 after the installation. Paul's AGI for the year was $50,000. How much of the medical expenses qualify for the medical expense deduction in 2016?