Taxpayers may deduct unreimbursed medical and dental expenses and eligible Long-Term Care premiums. Be sure the expenses were not paid with pretax dollars or reimbursed by an insurance company. Even vehicle mileage may be deducted if the out-of-pocket expenses were used for medical reasons, such as transportation to and from treatments.
The standard mileage rate allowed for out-of-pocket expenses for a car when used for medical reasons is 19 cents per mile from January 1, 2011, through June 30, 2011, and 23.5 cents per mile from July 1, 2011, through December 31, 2011. Taxpayers can also deduct parking fees and tolls.
For more details regarding allowable deductible expenses, review the Medical and Dental Expenses Checklist in the Medical and Dental Expenses chapter of Publication 17.
Stewart and Carmen are divorced. Their son, Raymond, lives with Carmen, who claims him as a dependent. Carmen paid for and deducted Raymond's standard medical and dental bills. Stewart deducted the emergency bill he paid when Raymond broke his arm.
Retired public safety officers cannot include as medical expenses any health or long-term care premiums they elected to have paid with tax-free distributions from their retirement plan.
If you and a taxpayer disagree as to whether a particular expense is deductible, politely refer the taxpayer to the Site Coordinator. The taxpayer may be correct, but you should not deduct an expense unless you are sure it is deductible.