Health Care
The most frequently asked tax questions related to Health Care
Laser eye surgery
Asked Tuesday, October 03, 2000 by an anonymous userCPA Answer:
Eye surgery performed to improve vision qualifies as a medical expense because it alleviates defective eyesight and is not considered cosmetic surgery.
It is reportable on IRS Schedule A as a medical itemized deduction subject to your 10% / 7.5% AGI limitation.
It is reportable on IRS Schedule A as a medical itemized deduction subject to your 10% / 7.5% AGI limitation.
Why do I have to pay Worker's Compensation for independent contractors ?
Asked Saturday, September 30, 2000 by an anonymous userCPA Answer:
You only have to pay Worker's Compensation for independent contractors who do not have their own coverage of Workers Compensation insurance. They should provide a certificate of insurance to the "employer" to show evidence of their own coverage. Workers Compensation laws vary from state to state, but generally speaking these laws protect the employer as well as the worker. Anyone injured on the job will be covered and the employer is generally protected from lawsuits arising from injury on the job by an employee.
Weight Watchers payments
Asked Friday, September 29, 2000 by an anonymous userCPA Answer:
Weight-loss programs are not deductible unless related to a specific medical condition and recommended by your doctor.
Is term insurance better than whole life insurance ?
Asked Friday, September 29, 2000 by an anonymous userCPA Answer:
The answer depends on your personal objectives and needs. Term life insurance is much less expensive over the guaranteed premium period of the policy, which can be as long as thirty years in some states. However, if your family's need for life insurance exceeds the guaranteed period, then whole life can end up being less expensive. Also, whole life insurance builds cash value within the policy that can be a source of capital to meet living needs.
Over -the-counter drugs
Asked Thursday, September 28, 2000 by an anonymous userCPA Answer:
The cost of over-the-counter medicines and drugs, such as aspirin, cold tablets or other cold remedies are not deductible. Deductible medicine and drugs must be obtained through a prescription by a doctor.
Massage therapy payments
Asked Thursday, September 28, 2000 by an anonymous userCPA Answer:
Massage therapy sessions for general stress reduction, even if recommended by a doctor, do not qualfy as a medical itemized deduction.
Paycheck withholding for medical coverage
Asked Thursday, September 28, 2000 by an anonymous userCPA Answer:
The amounts withheld from your paycheck for medical insurance is added to other medical expenses, such as for doctors, dentists, and prescription drugs.
The total medical expenses are subject to the 10% / 7.5% of your Adjusted Gross Income limitation and the excess is deductible on IRS Schedule A as a medical itemized deduction.
The total medical expenses are subject to the 10% / 7.5% of your Adjusted Gross Income limitation and the excess is deductible on IRS Schedule A as a medical itemized deduction.
Traveling to doctor's office
Asked Thursday, September 28, 2000 by an anonymous userCPA Answer:
The costs of travel to and from your doctor's office are part of your medical itemized deductions on IRS Schedule A subject to the 10% / 7.5% of your AGI limitation.
You may claim the actual travel expenses, or the IRS allows a 24 cents a mile flat rate, plus parking fees and tolls.
You may claim the actual travel expenses, or the IRS allows a 24 cents a mile flat rate, plus parking fees and tolls.
Motel lodging expense - cancer treatments
Asked Thursday, September 28, 2000 by an anonymous userCPA Answer:
Certain limitations apply. The costs for lodging while receiving treatment at a licensed hospital or outpatient clinic is limited to $50 per night per person.
If both parents travel with the child then $100 is allowed as the maximum lodging deduction per day.
This amount would be added to the other medical expenses subject to your 10% / 7.5% AGI limitation on IRS Schedule A for itemized deductions.
If both parents travel with the child then $100 is allowed as the maximum lodging deduction per day.
This amount would be added to the other medical expenses subject to your 10% / 7.5% AGI limitation on IRS Schedule A for itemized deductions.