If you have significant medical expenses that are not reimbursed by your insurance plan, you may choose to itemize your deductions in order to receive some relief on your taxes. Learn what you can claim as a tax deduction for out-of-pocket medical and dental costs.
According to the IRS, the following expenses can be deducted from your tax return:
- Dental care
- Vision care
- Preventative care
- Prescription medications
- Visits to psychologists
- Visits to psychiatrists
- Appliances like glasses, contacts, false teeth, and hearing aids
In addition to these specific services, the IRS will allow you to deduct certain travel expenses related to medical care. For example, if you need to travel to a different city to receive specialized treatment, you may be able to deduct mileage, parking fees at the hospital or care facility, and even bus or train fares.
For a more detailed list of medical and dental items you can deduct, read What kinds of medical and dental expenses can or cannot be deducted?
Medical expenses that can’t be deducted for taxes
If you pay for some expenses out of pocket but then are reimbursed by your employer or insurance company, those expenses cannot be deducted on your federal tax return.
According to the IRS, the following expenses are not deductible:
- Out-of-pocket medical expenses reimbursed to you from your employer
- Cosmetic procedures
- Over-the-counter drugs (with exception to insulin)
- Health-related items and services like:
- Hygiene products (deodorant, toothpaste, etc.)
- Vitamins and supplements
- Diet plans and fitness memberships
- Prior-year medical expenses
How much can I deduct for medical expenses?
For tax year 2022, the IRS allows you to deduct qualified medical expenses that exceed 7.5% of your AGI if you use itemize your deductions. Remember: these expenses must be unreimbursed.
Will my state let me deduct medical and dental expenses from my income taxes?
More than half of U.S. states allow taxpayers to deduct medical expenses, but some states have rules that differ from federal regulations. View the chart below to find your state’s regulations.
|State||Medical Expense Deduction|
|Alabama, Nebraska||Expenses that exceed 4% of your AGI|
|Alaska, Florida, Nevada, Tennessee, South Dakota, Texas, Washington, Wyoming, New Hampshire, Michigan||No individual income tax|
|Arizona||All qualified medical expenses are allowed|
|Arkansas, South Carolina, Virginia||Expenses that exceed 10% of your AGI|
|California, Georgia, Delaware, Iowa, Hawaii, Idaho, Kansas, Maine, Ohio, New York, Massachusetts, Montana, North Carolina, Oregon, Oklahoma, Washington D.C.
|Expenses that exceed 7.5% of your federal AGI|
|Connecticut, Indiana, Louisiana, Missouri, Kentucky, Pennsylvania, West Virginia, North Dakota, Maryland, Utah
|State tax law prohibits taxpayers from deducting medical expenses on state returns.|
|New Jersey||Expenses that exceed 2% of your AGI|
|Rhode Island||This state does not recognize the federal itemized schedule.|
|Vermont, Colorado||This state does not offer an option to itemize deductions on state returns.|
|Wisconsin||This deduction is for citizens whose medical expenses exceed $35/month. Eligibility is subject to several requirements.|
|New Mexico||Deductible amount is determined by specific requirements.|
How to claim the medical expenses deduction
You must itemize your deductions to claim your medical costs, so you will need to file a Schedule A. When you file your return, TaxSlayer will make sure all the information is entered in the correct place and the calculations are 100% accurate.
For more specific information on claiming this deduction, read Can I claim my medical and dental expenses?
This article was last updated on 12/20/2022.