The Wall Street Journal-20080123-Ask Personal Journal
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Q: Can you tell me the qualifications for deducting doctor bills on my tax return?
-- S.K., Aurora, Colo.
A: Sure, but first get ready for some unpleasant news: Most taxpayers can't deduct any of their doctors' bills because of what's known as the 7.5% rule. You're allowed to deduct unreimbursed medical expenses on Schedule A if you itemize your deductions and only to the extent they exceed 7.5% of your adjusted gross income. For example, suppose your adjusted gross income for this year comes to $50,000. To exceed 7.5% of your income, your medical bills would have to be more than $3,750. If your medical bills come to $4,000, you typically would be allowed to deduct only $250 of that amount. For more details, such as what expenses are deductible, see IRS Publications 17 and 502. See if you're eligible for a flexible spending account to use pretax dollars to pay for health-care and dependent-care expenses.
