Are Medical Expenses Tax Deductible?
Yes, medical expenses are tax deductible, but only the portion that exceeds a set percentage of your adjusted gross income (AGI), and only if you itemize your deductions on Schedule A.
Various tax deductions could let you recoup some of your medical and dental costs, covering anything from doctor visits and prescription medications to medical equipment and home modifications made for health reasons.
This guide covers which medical and dental expenses qualify, what the IRS excludes, how the AGI threshold determines your deductible amount and a quiz to test your knowledge before you file.
What Medical Expenses Are Tax Deductible
To claim the medical expense deduction, you must itemize your deductions on Schedule A. The deduction covers qualifying expenses paid for yourself, your spouse, and your dependents. If you are married and filing separately, you may only deduct your own personal medical costs.
A few important tips apply to any health-related tax adjustment. Remember to keep detailed records; documents and receipts will come in handy if the IRS schedules an audit. Be sure to deduct any credit card payments in the tax year when you charged them. If you ever forget to claim a major deduction, consider filing an amended return (Form 1040-X).
Medical Expenses
When you add up your expenses, include any premiums you pay for health insurance. These deductible medical expenses apply to individual, group, Medicare and long-term care plans. Keep in mind that you may only deduct amounts paid out of your taxable income. Don't add any payments that your employer withheld from pretax earnings.
Nearly anything prescribed by a physician can qualify as a deduction. While not a comprehensive list, possible deductions include:
- Examinations by doctors, dentists, surgeons, chiropractors, psychiatrists, psychologists, and other medical practitioners
- Payments for diagnosis, cure, mitigation, treatment or prevention of disease
- In-patient hospital care or nursing home service costs, such as meals and lodging
- Insulin and prescription drugs
- Travel expenses to and from medical treatments. You can deduct the IRS standard mileage rate for medical travel, plus parking and tolls, or your actual cost of gas and oil
- Uninsured medical treatments, such as eyeglasses, contact lenses, false teeth, hearing aids and artificial limbs
- Domestic accommodations that require remodeling for in-home medical care
A few potential overlooked deductions may include:
- Alcohol- or drug-abuse treatments
- Weight-loss programs and diet regimes, if a doctor recommends them
- Smoking-cessation treatments, including drugs to alleviate nicotine withdrawal if they require a prescription
- The cost of buying, training, and maintaining a guide dog or other service animal for a visually impaired or hearing disabled person, or a person with other physical disabilities
- Tutoring fees paid on a doctor's recommendation for a child with learning disabilities caused by mental or physical impairments, provided the tutor is specially trained and qualified to work with such children
- Legal abortions, condoms and birth control pills prescribed by a doctor, as well as in vitro fertilization, and vasectomy and sterilization procedures
- Pregnancy test kits, breast pumps and lactation supplies (excluding bottles used for food storage)
For a complete list of potential medical deductions, refer to IRS Publication 502.
When you lack health insurance or an insurer doesn't reimburse you, it's possible to deduct most out-of-pocket costs. They include fees for a wide range of screenings and treatments. The IRS only allows taxpayers to claim cosmetic surgery expenses if a disease or accident makes an operation necessary. It's legal to subtract vasectomy and sterilization costs. You may also deduct payments for preventive services, such as yearly checkups and eye examinations.
If you visit a hospital or other medical center, you can claim some of the travel expenses. You could subtract payments for fuel, tolls, mass transit tickets or ambulance rides. It's also acceptable to deduct up to $50 per person for lodging each night. This deduction only applies to the patient and one companion.
Dental Expenses
The government lets you claim tax deductions for dentist appointments. You may subtract the cost of most preventive and corrective services, such as cleanings, fillings and extractions. However, you can't deduct any money you spend on tooth whitening treatments or products. The IRS considers this an optional cosmetic expense.
Medications
You may deduct some medication costs on Schedule A. The acceptable deductions include insulin and nearly all prescription drugs. It's also possible to list the cost of vitamins or supplements, but you can only do this if a doctor recommends that you use them to treat a diagnosed health problem. The IRS won't let you claim deductions for non-prescription or over-the-counter medicines, such as ibuprofen.
Medical Devices
Many medical device purchases can reduce your tax bill. Almost any type of equipment is acceptable if it's medically necessary. Approved items include wheelchairs, crutches, eyeglasses, hearing aids and breast pumps. The same goes for artificial limbs or teeth. Most test kits qualify as well. For instance, women may subtract the cost of pregnancy tests.
Home Modifications
You may claim a medical deduction after you modify your house for health reasons. However, you can't include any part of the expense that raises your home's resale value. Taxpayers often use this deduction when they suffer debilitating injuries. Acceptable improvements range from wheelchair ramps to metal railings on walls. The IRS will only permit deductions that it considers reasonable and necessary.
What Medical Expenses Are Not Tax Deductible?
Not every health-related expense qualifies for a tax deduction; the IRS draws a clear line between medical care and general health or personal expenses. The following costs cannot be included in your medical expense deduction:
- Cosmetic surgery, unless it corrects a deformity from a congenital abnormality, accident or disfiguring disease
- Over-the-counter or non-prescription drugs and medicines, with the exception of insulin
- Teeth whitening treatments, hair transplants or electrolysis (hair removal)
- Health club fees and gym memberships, unless separately billed for a specific weight-loss treatment prescribed by a physician
- Nutritional supplements, vitamins and herbal remedies, unless recommended by a doctor to treat a specific diagnosed condition
- Funeral and burial expenses
- Maternity clothes, surrogacy expenses or diaper services, unless medically necessary
- Household help, even if recommended by a doctor
- Medical expenses paid using tax-free HSA or FSA funds
- Insurance premiums paid by your employer through a pretax payroll deduction
- Controlled substances that are not legal under federal law, even if permitted by state law
HSA and FSA Tax Benefits Without Itemizing
If you prefer to claim the standard deduction and skip Schedule A, you might still have an opportunity to subtract certain costs. For 2025, the standard deduction is $31,500 for married filing jointly, $23,625 for head of household, and $15,750 for single or married filing separately.
Anyone with a health savings account (HSA) can deduct personal HSA contributions from taxable earnings. However, you may not include the premiums for an insurance plan that's linked to an HSA.
Unlike HSA contributions, flexible spending accounts (FSA) contributions are made through pretax payroll deductions, so the funds already have a tax advantage. In either case, if you paid for medical expenses using HSA or FSA funds, those expenses cannot also be claimed as an itemized deduction.
How the AGI Threshold Works
As mentioned earlier, many medical expenses are tax deductible. Especially those not covered by insurance. However, there's an annual threshold that must be exceeded to qualify. It works like this: Taxpayers can deduct qualified medical and dental expenses for everyone listed on their tax returns in excess of 7.5 percent of adjusted gross income (AGI).
When calculating deductions, first eliminate insurance payments and reimbursements. If the remaining amount surpasses 7.5 percent of AGI, these expenses can be deductible. For instance, if a taxpayer has an AGI of $45,000, medical expenses exceeding $3,375 can be deducted. Assuming expenses are not offset by insurance reimbursements and the taxpayer had expenses of $6,000, they would be eligible for a deduction of $2,625 ($6,000 - $3,375).
Medical Expenses for Self-Employed Individuals
Self-employed individuals usually need to pay for insurance in full, so the IRS lets you take advantage of more health-related income adjustments. If you make a profit, you may subtract long-term care, dental and health insurance premiums. The deduction for HSA deposits applies to self-employed taxpayers as well. You can also include the cost to insure a spouse, dependent or any child up to 26 years old.
This deduction is claimed using Form 7206 and is separate from the Schedule A medical expense deduction.
Put Your Deductions to Work
Medical expenses can significantly reduce your tax bill, but only if you know which costs qualify, how the AGI threshold works and how to claim the deduction correctly on Schedule A.
E-file.com makes it easy to itemize your deductions and claim every deduction you've earned. Have questions before you start? Visit our FAQ or check what you'll need to file.