Room and board expenses are not deductible if they are reimbursed by insurance. Most assisted living facilities in Indiana prepare care plans for their residents. The resident must also have a plan of care prescribed by a licensed health care provider. ![]() Requires supervision due to a congestive impairment (such as Alzheimer’s disease).Cannot perform at least two activities of daily living, such as eating, toileting, transferring, bath, dressing, or continence or.This means a doctor, registered nurse, or certified social worker has to certify in writing that the resident either: The resident must be certified as “chronically ill” for room and board expenses to be considered deductible medical expenses. This allows a medical expense deduction if the resident’s combined medical expenses are more than 7.5% of the resident’s adjusted gross income. We help make these costs tax deductible for many of our clients. We represent many folks who are paying $3500 or more per month for room and board at an assisted living facility. Making Room and Board Costs for Assisted Living Care Tax Deductible A list of common medical expenses is located at the end of this article. Please note Indiana does not recognize medical expense deductions. This often allows a person to take funds out of a retirement account free of federal income tax. ![]() The cost of nursing home care usually creates a large medical expense deduction. This means a person or couple will need high medical costs in order to qualify and take advantage of this deduction. ![]() The standard deduction increased to $12,000 for a single person and $24,000 for a married couple as of January 1, 2018. The good news for elderly and disabled Hoosiers is this tax bill allows them to write off qualifying medical expenses that exceed 7.5% of their adjusted gross income for 20, regardless of their age. The Tax Cuts and Jobs Act became effective January 1, 2018.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |