May 21, 2015 Medical Tax Deductions: Do I have to Pay Taxes on Medical Bills and Personal Injury awards or settlements? New York Personal Injury Lawyer Explains. I wrote about the high cost of medical care and drugs. If you are seriously hurt, the government will lower your taxes because you can take medical tax deductions. In other words, if you use more than a certain percent of your income to pay for medical care, services, drugs, and supplies, you can pay lower taxes. I am Hurt and Pay Bills for Medical Care and Treatment: What Medical Tax Deductions Can I Take? You can deduct expenses from various types of medical care and treatment. Each year the tax laws change, but this list should give you an idea whether you can pay lower tax because you pay more for medical care. Medical tax deductions can be had for, but are not limited to, payments for: 1) Doctors, dentists, surgeons, chiropractors, psychiatrists, psychologists, and nontraditional medical practitioners. 2) In-patient hospital care or nursing home services, including the cost of meals and lodging charged by the hospital or nursing home. 3) Acupuncture. 4) Weight-loss program for a specific disease or diseases diagnosed by a physician. 5) Insulin and prescription drugs. 6) False teeth, reading or prescription eyeglasses or contact lenses, hearing aids, crutches, wheelchairs, and for guide dogs for the blind or deaf 7) Transportation for medical care (e.g. payments for taxi, bus, ambulance, personal car, or train fare) including out-of-pocket costs for gas and oil, and the cost of parking and tolls. 8) Health insurance policy premiums for policies that cover medical care or for a qualified long-term care insurance policy covering qualified long-term care services. Do I Have to Pay Taxes on a Personal Injury Lawsuit? Generally, no. A personal injury award or settlement is usually not taxed by the government. Exceptions apply though that only a personal injury attorney can discuss with you, based on your specific case. For example, if you deduct medical expenses before your lawsuit settles or gets to verdict, you may need to pay taxes on the part of your award that was meant to pay for your medical care. The government will not let you take that medical tax deduction twice. Medical Tax Deductions: a Lawyer’s Help If you are hurt and have questions about medical tax deductions, speak with a knowledgable national personal injury lawyer. A personal injury lawyer will review your case with compassion and care, will give you helpful resources, and guide you through legal, medical, and practical problems. by Clifford Tucker All 0 0
