Taxpayers are expanding the range of deductible medical expenses
Article Abstract:
A taxpayer may deduct unreimbursed medical expenses that exceed 7.5% of his or her adjusted gross income. In general, deductions for medical expenses can only be taken for the year in which payment is made. Deductible medical care expenses include amounts paid for hospital and doctor bills, transportation costs incurred in obtaining medical care, and nursing home payments. Capital improvements made to accommodate a handicapped person are deductible. Swimming pools used for therapeutic reasons may also be deductible but outdoor pools that cannot be used 12 months a year are meeting increased resistance from the IRS.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1988
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New tax planning needed for effective use of personal and dependency exemptions
Article Abstract:
The Tax Reform Act of 1986 significantly increased exemption personal and dependent exemption amounts, but the advantages of these increases are curtailed by phase-out rules, elimination of extra exemptions for old age and blindness, and disallowance of double exemptions for some taxpayers. Shifting exemptions is now a viable means of reducing taxes, and planning and techniques that can help taxpayers gain valuable deductions are discussed.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1989
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