Determine the amount of medical expenses allowable as an itemized deduction after limitations. John (age 52) and
Question:
- Determine the amount of medical expenses allowable as an itemized deduction after limitations. John (age 52) and Mary (age 49) have adjusted gross income in 2023 totaling $200,000. Neither John nor Mary is self employed. Their medical type expenses in 2022 are as follows:
Blue Cross Premiums (policy covers 80% of certain medical costs) | 4,000 |
Accident Policy Premiums (policy pays $100/day for any day policyholder is hospitalized) | 500 |
Accident Policy Premium (pays a fixed amount for loss of hand/fingers etc | 100 |
Disability Policy premium (pays $100/day if policyholder becomes disabled). | 1,000 |
Qualified Long Term Care Premium each has a policy) | 1,550/900 |
Prescription drugs | 388 |
Over the counter drugs (Aspirin, cough medicine etc.) | 600 |
Doctors and dentists (not covered by insurance | 800 |
Hospital emergency room (not covered by insurance | 1,000 |
Cost of Mary's "facelift" (not covered by insurance) | 1,500 |
John's eyeglasses | 300 |
Mary's contact lenses | 50 |
Contact lens wetting/cleaning solutions | 200 |
Ambulance | 100 |
Wheelchair rental | |
Mileage driven for doctor appointments (evenly thru yr) | 100 miles |
Parking for doctor visits | 200 |
In addition, Mary's mother Kate resides with them. John and Mary provide over half of Kate's support. Kate's only income is $5,000 interest income and $6,000 social security income. During 2023 John and Mary paid the following medical expenses for Kate:
Hearing aids | 4,800 |
Hearing aid batteries | 200 |
Installation of an elevator in their home Since Kate can no longer walk the stairs Cost of elevator/installation | $ 12,000 |
Increase in Fair Market Value of the house due to elevator | $2,000 |
Income Tax Fundamentals 2015
ISBN: 9781305177772
33rd Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven Gill