Question:
Do you think this article about a new IRS tax deduction covers WLS?
Fighting Obesity Is Tax-Deductible IRS Says You Can Deduct Prescribed Weight-Loss Plans April 3, 2002 -- The battle of the bulge is about to get a little easier on your pocketbook. The Internal Revenue Service issued a ruling Tuesday that officially recognizes obesity as a disease -- making physician-prescribed plans to treat it tax-deductible. Experts say the ruling may set a precedent for insurance companies and other government-sponsored programs like Medicare to offer coverage for obesity programs. But the new deduction will likely only apply to a small percentage of people who are trying to lose weight. The ruling does not apply to people who want to shed pounds in order to improve their general health and appearance. Fees associated with joining weight-loss programs, such as Weight Watchers, Jenny Craig, and others, and attending meetings are now deductible expenses for those who have been referred to the programs by a doctor to treat obesity. But the cost of diet foods is not deductible. According to the IRS, "Although diet foods may also be part of a weight-loss program, these are substitutes for the food the taxpayers normally consume and satisfy their nutritional requirements. As such, they are not deductible medical expenses, even for taxpayers whose disease qualifies them to deduct weight-loss program costs." In addition, taxpayers may deduct qualifying medical expenses, including weight-loss plans, only to the extent the total of such expenses exceeds 7.5% of their adjusted gross income. The IRS says this ruling not only applies to the 2001 tax returns being filed this year and future returns, but also to any previous years for which the taxpayer can file an amended return (generally three years after the due date). The judgment updates a previous IRS policy that allowed deductions for physician-ordered weight loss plans prescribed to combat diseases such as heart disease and high blood pressure. — Jennifer A. (posted on April 4, 2002)
April 4, 2002
Wow! It does sound like we should all be getting a pretty big tax write
off. I wonder if all the special calcium and protein supplements are
deductible as well.
— Virginia N.
April 4, 2002
YES! You can deduct these medical expenses from 1998 forward. I wrote an
article that is posted in the News section called Slim Down Your Taxes.
Click the News link at the top of the page and scroll down to the last
article. I sure hope somebody can deduct theirs! Good luck!
— ctyst
April 4, 2002
Virginia: Nutritional supplements taken at a physician's direction that can
only be obtained by prescription are considered tax deductible per the new
tax code!
— Jennifer A.
April 4, 2002
Before y'all get too excited, the IRS has always accepted costs related to
the treatment of Morbid Obesity, just not obesity. And, remember that the
total amount is subject as percentage of your income (See section A of
Schedule C, Itemized Deductions). The amount has to be beyond 7.5% or some
ridiculously high number like that and only the amount in excess of that is
deductable. That means that you have to run up $2,625 (if you make
$35,000) before anything after that can be deducted.
— merri B.
April 4, 2002
I just spoke to my accountant regarding this subject because I am going in
for my surgery as a self-pay. There absolutely is a medical deduction that
is able to be applied. It's 7 1/2% of the adjusted gross income. She
further advised me to keep each and every out of pocket medical expense for
the year (co-pay, medical insurance coverage that comes out of my husbands
check, anything not covered by insurance, pharmacy, etc). I'm absolutely
going to take advantage of this. Thanks for mentioning it.
— Lisa J.
April 4, 2002
Yes, in my opinion as an accountant, the costs connected with WLS would be
an allowable medical expense. Therefore, all of your out-of-pocket travel
and medical bills will be deductible.
— Kathy J.
April 5, 2002
Also for anyone who needs to pay large amounts of medical bills in one tax
year---keep track of your expenses and your spouses. Instead of just
automatically filing jointly, look and see if perhaps filining as married
filing separately is advantageous. The year my father-in-law passed away,
there were huge saving for my mother-in-law when we filed them separately
due to his huge out-of-pocket medical expenses.
— Sue F.
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