Filing Your Taxes Online is Fast, Easy and Secure.
Start now and receive your tax refund in as little as 7 days.

1. Get Answers

Your online questions are customized to your unique tax situation.

2. Maximize your Refund

Find tax credits for everything from school tuition to buying a hybri

3. E-File for FREE

E-file free with direct deposit to get your refund in as few as 7 days.

Filing your taxes with paper mail can be difficult and it could take weeks for your refund to arrive. IRS e-file is easy, fast and secure. There is no paperwork going to the IRS so tax refunds can be processed in as little as 7 days with direct deposit. As you prepare your taxes online, you can see your tax refund in real time.

FREE audit support and representation from an enrolled agent – NEW and only from H&R Block

2011 Tax Calculator

1040ez InstructionsHow To Fill Out A Tax AmendmentTax Filing Extension1040x Amended Return FormIrs Gov EfileHow To File Amended Tax ReturnAmended Tax ReturnIrs Gov Forms 1040xTax Extension OnlineFile LateState Tax ReturnsSearch Hrblock Com1040 Es Tax FormsAmend Tax Returns1040ez Tax TableFree E File 1040xIrs Tax Forms 1040ezHr Free FileFile State Return For FreeForm 1040ez More:label_form_201040ez More:taxesTurbo Tax 1040ez1040ez Instructions 20121040ez Tax Forms To PrintH And R Block File Free2012 Amended Tax ReturnFile Back Taxes Online2012 1040ez Form2012 E FileIrs 1040 Ez Form 20121040ez Forms Download Free1040ez Instructions 2010Free Tax Filing 20122011 Income Tax FormNj 1040 Nr2014 1040ez Forms2005 Tax ReturnFile State Taxes2012 Federal Income Tax Forms 1040Hand R Block TaxesHow To File An Extension For 2011 Taxes Free

2011 Tax Calculator

2011 tax calculator 11. 2011 tax calculator   Employer-Provided Educational Assistance Table of Contents Introduction Working condition fringe benefit. 2011 tax calculator Introduction If you receive educational assistance benefits from your employer under an educational assistance program, you can exclude up to $5,250 of those benefits each year. 2011 tax calculator This means your employer should not include those benefits with your wages, tips, and other compensation shown in box 1 of your Form W-2. 2011 tax calculator This also means that you do not have to include the benefits on your income tax return. 2011 tax calculator You cannot use any of the tax-free education expenses paid for by your employer as the basis for any other deduction or credit, including the American opportunity credit and lifetime learning credit. 2011 tax calculator Educational assistance program. 2011 tax calculator   To qualify as an educational assistance program, the plan must be written and must meet certain other requirements. 2011 tax calculator Your employer can tell you whether there is a qualified program where you work. 2011 tax calculator Educational assistance benefits. 2011 tax calculator   Tax-free educational assistance benefits include payments for tuition, fees and similar expenses, books, supplies, and equipment. 2011 tax calculator Education generally includes any form of instruction or training that improves or develops your capabilities. 2011 tax calculator The payments do not have to be for work-related courses or courses that are part of a degree program. 2011 tax calculator   Educational assistance benefits do not include payments for the following items. 2011 tax calculator Meals, lodging, or transportation. 2011 tax calculator Tools or supplies (other than textbooks) that you can keep after completing the course of instruction. 2011 tax calculator Courses involving sports, games, or hobbies unless they: Have a reasonable relationship to the business of your employer, or Are required as part of a degree program. 2011 tax calculator Benefits over $5,250. 2011 tax calculator   If your employer pays more than $5,250 in educational assistance benefits for you during the year, you must generally pay tax on the amount over $5,250. 2011 tax calculator Your employer should include in your wages (Form W-2, box 1) the amount that you must include in income. 2011 tax calculator Working condition fringe benefit. 2011 tax calculator    However, if the benefits over $5,250 also qualify as a working condition fringe benefit, your employer does not have to include them in your wages. 2011 tax calculator A working condition fringe benefit is a benefit which, had you paid for it, you could deduct as an employee business expense. 2011 tax calculator For more information on working condition fringe benefits, see Working Condition Benefits in chapter 2 of Publication 15-B, Employer's Tax Guide to Fringe Benefits. 2011 tax calculator Prev  Up  Next   Home   More Online Publications
Print - Click this link to Print this page

Disaster Assistance and Emergency Relief for Individuals and Businesses

Overview

Special tax law provisions may help taxpayers and businesses recover financially from the impact of a disaster, especially when the federal government declares their location to be a major disaster area. Depending on the circumstances, the IRS may grant additional time to file returns and pay taxes. Both individuals and businesses in a federally declared disaster area can get a faster refund by claiming losses related to the disaster on the tax return for the previous year, usually by filing an amended return.

The IRS also offers audio presentations on Planning for Disaster. These presentations discuss business continuity planning, insurance coverage, recording keeping and other tips to stay in business after a major disaster.

Get the Latest Tax Relief Guidance in Disaster Situations
Recent special tax law provisions may help taxpayers recover financially from the impact of a major disaster in their location.

Preparing for Disasters
Are your home and/or business ready if a disaster strikes? Get information and suggestions on paperless recordkeeping, documenting assets and valuables, and emergency planning.

Help for Disaster Victims
This podcast provides information on what to do and who to contact if you have been affected by a disaster this year.

Help During Disasters
We know that major disasters and emergencies in your area will affect many families and businesses. While we hope you are spared any loss, we realize this may not be true for everyone, and we want to let you know how the IRS can help.

Around the Nation
This section of our Web site provides IRS news specific to local areas, primarily disaster relief or tax provisions that affect certain states.

Tax Topic 515 - Casualty, Disaster, and Theft Losses
Casualty losses can result from the destruction of or damage to your property from any sudden, unexpected, and unusual event such as a flood, hurricane, tornado, fire, earthquake or even volcanic eruption.

Disaster Assistance Self-Study
The Disaster Assistance Self-Study provides the basic information needed to assist taxpayers in a disaster. It provides the volunteer practitioner disaster representative member with information on distributing Disaster Kits, computing gains/losses as the result of a disaster, information about administrative tax relief and information about the psychological effects of a disaster on its victims.

For Individuals

FAQs for Disaster Victims
This section provides current information on disaster relief and frequently asked questions. The Hurricane Katrina FAQs are now listed separately from the general FAQs, which are applicable to any disaster.

Gulf Oil Spill: Questions and Answers
The existing law dictates whether payments received from BP for losses, damage and injuries are taxable. Refer to the Gulf Oil Spill technical questions and answers for more information.

Reconstructing Your Records
Reconstructing records after a disaster may be essential for tax purposes, getting federal assistance or insurance reimbursement. Records that you need to prove your loss may have been damaged or destroyed in a casualty. While it may not be easy, reconstructing your records may be essential.

Publication 2194, Disaster Resource Guide for Individuals and Businesses (PDF)
Publication 2194 is a Disaster Losses Kit to help individuals claim casualty losses on property that was destroyed by a natural disaster. The kit contains tax forms needed to claim a casualty loss. It also answers common questions like how to extend the time you need to file, how you can receive free tax services and how to identify which disaster losses to claim.

Help for Hurricane Victims: Information on Tax Relief, Charitable Issues
The Internal Revenue Service is working to provide appropriate relief and assistance to victims of Hurricanes Katrina, Rita and Wilma.

For Businesses

Publication 2194, Disaster Resource Guide for Individuals and Businesses (PDF)
Publication 2194 is a Disaster Losses Kit to help businesses claim casualty losses on property that has been destroyed by a natural disaster. The kit contains tax forms needed to claim a casualty loss.

Crop Insurance and Crop Disaster Payments - Agriculture Tax Tips
This section offers helpful tax tips including whether crop insurance and crop disaster payments are taxable.

Disaster Planning Video Presentations:

For Tax Professionals

Disaster Relief Resource Center for Tax Professionals
Through this resource center we address many of the questions received from tax professionals. We've included information published by the IRS, along with links to IRS partners who may offer additional assistance. Many of our partners have developed Web pages that highlight the efforts they've made to help their fellow practitioners to recover and get re-established.

For Charitable Organizations

Disaster Relief - Resources for Charities and Contributors
After a disaster or in another emergency hardship situation, people may be interested in using a charitable organization to help victims. The IRS provides a number of resources to help them accomplish this goal.

Publication 3833, Disaster Relief, Providing Assistance Through Charitable Organizations (PDF)
This publication describes how members of the public can use charitable organizations to provide assistance to victims of disasters or other emergency hardship situations.

Talk With the IRS

Contact My Local Office
IRS Taxpayer Assistance Centers are your one-stop resource for face-to-face tax help and solutions to tax problems, every business day.

Taxpayer Advocate Service
The Taxpayer Advocate is an independent organization within the IRS. They help taxpayers resolve problems with the IRS and recommend changes that will prevent the problems.

Other Government Agency Disaster Information

DisasterAssistance.gov
This is a one stop web portal that consolidates information from 17 US Government Agencies where taxpayers can apply for Small Business Administration loans through online applications, receive referral information on forms of assistance that do not have online applications, or check the progress and status of their applications online.

Federal Emergency Management Agency (FEMA)
Federal disaster aid programs provided by the Federal Emergency Management Agency (FEMA) are available to citizens affected by major disasters.

Small Business Administration (SBA)
The U. S. Small Business Administration (SBA) is responsible for providing affordable, timely and accessible financial assistance to homeowners, renters and businesses of all sizes located in a declared disaster area. Financial assistance is available in the form of low-interest, long-term loans for losses that are not fully covered by insurance or other recoveries.

READY.gov
Learn how individuals and business can prepare for and respond to all kinds of disasters and emergencies.

GovBenefits.gov
GovBenefits.gov wants to let survivors and disaster relief workers know about the many disaster relief programs available. Perhaps you have suffered damage to a home or business, lost your job, or experienced crop damage due to a natural disaster. GovBenefits.gov has a variety of national benefit and assistance programs geared toward disaster recovery

IRS Forms and Publications

Publication 547 – Casualties, Disasters and Thefts
Publication 547 explains how to treat casualties, thefts, and losses on deposits. It discusses definitions, how to figure gain or loss, how to treat reimbursements, and how to report them.

Form 1040X (PDF).

Publication 584 (PDF). Also available in HTML.

Publication 584B (PDF). Also available in HTML.

Publication 2194 (PDF).

Publication 3067 (EN/SP) (PDF).

Publication 3067 (EN/CN) (PDF)

Publication 3067 (EN/DE) (PDF)

Publication 3067 (EN/KR) (PDF)

Publication 3067 (EN/RU) (PDF)

Publication 3067 (EN/VN) (PDF)

Publication 3833 (PDF).

Page Last Reviewed or Updated: 21-Jan-2014

The 2011 Tax Calculator

2011 tax calculator 21. 2011 tax calculator   Medical and Dental Expenses Table of Contents What's New Introduction Useful Items - You may want to see: What Are Medical Expenses? What Expenses Can You Include This Year?Community property states. 2011 tax calculator How Much of the Expenses Can You Deduct? Whose Medical Expenses Can You Include?Yourself Spouse Dependent Decedent What Medical Expenses Are Includible?Insurance Premiums Meals and Lodging Transportation Disabled Dependent Care Expenses How Do You Treat Reimbursements?Insurance Reimbursement Damages for Personal Injuries How Do You Figure and Report the Deduction on Your Tax Return?What Tax Form Do You Use? Impairment-Related Work Expenses Health Insurance Costs for Self-Employed Persons What's New Medical and dental expenses. 2011 tax calculator  Beginning January 1, 2013, you can deduct only the part of your medical and dental expenses that exceed 10% of your adjusted gross income (AGI) (7. 2011 tax calculator 5% if either you or your spouse is age 65 or older). 2011 tax calculator Standard mileage rate. 2011 tax calculator  The standard mileage rate allowed for operating expenses for a car when you use it for medical reasons is 24 cents per mile. 2011 tax calculator See Transportation under What Medical Expenses Are Includible. 2011 tax calculator Introduction This chapter will help you determine the following. 2011 tax calculator What medical expenses are. 2011 tax calculator What expenses you can include this year. 2011 tax calculator How much of the expenses you can deduct. 2011 tax calculator Whose medical expenses you can include. 2011 tax calculator What medical expenses are includible. 2011 tax calculator How to treat reimbursements. 2011 tax calculator How to report the deduction on your tax return. 2011 tax calculator How to report impairment-related work expenses. 2011 tax calculator How to report health insurance costs if you are self-employed. 2011 tax calculator Useful Items - You may want to see: Publications 502 Medical and Dental Expenses 969 Health Savings Accounts and Other Tax-Favored Health Plans Form (and Instructions) Schedule A (Form 1040) Itemized Deductions What Are Medical Expenses? Medical expenses are the costs of diagnosis, cure, mitigation, treatment, or prevention of disease, and the costs for treatments affecting any part or function of the body. 2011 tax calculator These expenses include payments for legal medical services rendered by physicians, surgeons, dentists, and other medical practitioners. 2011 tax calculator They include the costs of equipment, supplies, and diagnostic devices needed for these purposes. 2011 tax calculator Medical care expenses must be primarily to alleviate or prevent a physical or mental defect or illness. 2011 tax calculator They do not include expenses that are merely beneficial to general health, such as vitamins or a vacation. 2011 tax calculator Medical expenses include the premiums you pay for insurance that covers the expenses of medical care, and the amounts you pay for transportation to get medical care. 2011 tax calculator Medical expenses also include amounts paid for qualified long-term care services and limited amounts paid for any qualified long-term care insurance contract. 2011 tax calculator What Expenses Can You Include This Year? You can include only the medical and dental expenses you paid this year, regardless of when the services were provided. 2011 tax calculator If you pay medical expenses by check, the day you mail or deliver the check generally is the date of payment. 2011 tax calculator If you use a “pay-by-phone” or “online” account to pay your medical expenses, the date reported on the statement of the financial institution showing when payment was made is the date of payment. 2011 tax calculator If you use a credit card, include medical expenses you charge to your credit card in the year the charge is made, not when you actually pay the amount charged. 2011 tax calculator Separate returns. 2011 tax calculator   If you and your spouse live in a noncommunity property state and file separate returns, each of you can include only the medical expenses each actually paid. 2011 tax calculator Any medical expenses paid out of a joint checking account in which you and your spouse have the same interest are considered to have been paid equally by each of you, unless you can show otherwise. 2011 tax calculator Community property states. 2011 tax calculator   If you and your spouse live in a community property state and file separate returns, or are registered domestic partners in Nevada, Washington, or California, any medical expenses paid out of community funds are divided equally. 2011 tax calculator Each of you should include half the expenses. 2011 tax calculator If medical expenses are paid out of the separate funds of one individual, only the individual who paid the medical expenses can include them. 2011 tax calculator If you live in a community property state, and are not filing a joint return, see Publication 555, Community Property. 2011 tax calculator How Much of the Expenses Can You Deduct? Generally, you can deduct on Schedule A (Form 1040) only the amount of your medical and dental expenses that is more than 10% of your AGI (7. 2011 tax calculator 5% of your AGI if either you or your spouse is age 65 or older)(Form 1040, line 38). 2011 tax calculator Example. 2011 tax calculator You are unmarried and under age 65 and your AGI is $40,000, 10% of which is $4,000. 2011 tax calculator You paid medical expenses of $2,500. 2011 tax calculator You cannot deduct any of your medical expenses because they are not more than 10% of your AGI. 2011 tax calculator Whose Medical Expenses Can You Include? You can generally include medical expenses you pay for yourself, as well as those you pay for someone who was your spouse or your dependent either when the services were provided or when you paid for them. 2011 tax calculator There are different rules for decedents and for individuals who are the subject of multiple support agreements. 2011 tax calculator See Support claimed under a multiple support agreement , later. 2011 tax calculator Yourself You can include medical expenses you paid for yourself. 2011 tax calculator Spouse You can include medical expenses you paid for your spouse. 2011 tax calculator To include these expenses, you must have been married either at the time your spouse received the medical services or at the time you paid the medical expenses. 2011 tax calculator Example 1. 2011 tax calculator Mary received medical treatment before she married Bill. 2011 tax calculator Bill paid for the treatment after they married. 2011 tax calculator Bill can include these expenses in figuring his medical expense deduction even if Bill and Mary file separate returns. 2011 tax calculator If Mary had paid the expenses, Bill could not include Mary's expenses in his separate return. 2011 tax calculator Mary would include the amounts she paid during the year in her separate return. 2011 tax calculator If they filed a joint return, the medical expenses both paid during the year would be used to figure their medical expense deduction. 2011 tax calculator Example 2. 2011 tax calculator This year, John paid medical expenses for his wife Louise, who died last year. 2011 tax calculator John married Belle this year and they file a joint return. 2011 tax calculator Because John was married to Louise when she received the medical services, he can include those expenses in figuring his medical expense deduction for this year. 2011 tax calculator Dependent You can include medical expenses you paid for your dependent. 2011 tax calculator For you to include these expenses, the person must have been your dependent either at the time the medical services were provided or at the time you paid the expenses. 2011 tax calculator A person generally qualifies as your dependent for purposes of the medical expense deduction if both of the following requirements are met. 2011 tax calculator The person was a qualifying child (defined later) or a qualifying relative (defined later), and The person was a U. 2011 tax calculator S. 2011 tax calculator citizen or national, or a resident of the United States, Canada, or Mexico. 2011 tax calculator If your qualifying child was adopted, see Exception for adopted child , next. 2011 tax calculator You can include medical expenses you paid for an individual that would have been your dependent except that: He or she received gross income of $3,900 or more in 2013, He or she filed a joint return for 2013, or You, or your spouse if filing jointly, could be claimed as a dependent on someone else's 2013 return. 2011 tax calculator Exception for adopted child. 2011 tax calculator   If you are a U. 2011 tax calculator S. 2011 tax calculator citizen or U. 2011 tax calculator S. 2011 tax calculator national and your adopted child lived with you as a member of your household for 2013, that child does not have to be a U. 2011 tax calculator S. 2011 tax calculator citizen or national or a resident of the United States, Canada, or Mexico. 2011 tax calculator Qualifying Child A qualifying child is a child who: Is your son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half brother, half sister, or a descendant of any of them (for example, your grandchild, niece, or nephew), Was: Under age 19 at the end of 2013 and younger than you (or your spouse, if filing jointly), Under age 24 at the end of 2013, a full-time student, and younger than you (or your spouse, if filing jointly), or Any age and permanently and totally disabled, Lived with you for more than half of 2013, Did not provide over half of his or her own support for 2013, and Did not file a joint return, or, if he or she did, it was only to claim a refund. 2011 tax calculator Adopted child. 2011 tax calculator   A legally adopted child is treated as your own child. 2011 tax calculator This includes a child lawfully placed with you for legal adoption. 2011 tax calculator   You can include medical expenses that you paid for a child before adoption if the child qualified as your dependent when the medical services were provided or when the expenses were paid. 2011 tax calculator   If you pay back an adoption agency or other persons for medical expenses they paid under an agreement with you, you are treated as having paid those expenses provided you clearly substantiate that the payment is directly attributable to the medical care of the child. 2011 tax calculator   But if you pay the agency or other person for medical care that was provided and paid for before adoption negotiations began, you cannot include them as medical expenses. 2011 tax calculator    You may be able to take an adoption credit for other expenses related to an adoption. 2011 tax calculator See the Instructions for Form 8839, Qualified Adoption Expenses, for more information. 2011 tax calculator Child of divorced or separated parents. 2011 tax calculator   For purposes of the medical and dental expenses deduction, a child of divorced or separated parents can be treated as a dependent of both parents. 2011 tax calculator Each parent can include the medical expenses he or she pays for the child, even if the other parent claims the child's dependency exemption, if: The child is in the custody of one or both parents for more than half the year, The child receives over half of his or her support during the year from his or her parents, and The child's parents: Are divorced or legally separated under a decree of divorce or separate maintenance, Are separated under a written separation agreement, or Live apart at all times during the last 6 months of the year. 2011 tax calculator This does not apply if the child's exemption is being claimed under a multiple support agreement (discussed later). 2011 tax calculator Qualifying Relative A qualifying relative is a person: Who is your: Son, daughter, stepchild, foster child, or a descendant of any of them (for example, your grandchild), Brother, sister, half brother, half sister, or a son or daughter of either of them, Father, mother, or an ancestor or sibling of either of them (for example, your grandmother, grandfather, aunt, or uncle), Stepbrother, stepsister, stepfather, stepmother, son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law, or Any other person (other than your spouse) who lived with you all year as a member of your household if your relationship did not violate local law, Who was not a qualifying child (see Qualifying Child earlier) of any other person for 2013, and For whom you provided over half of the support in 2013. 2011 tax calculator But see Child of divorced or separated parents , earlier, and Support claimed under a multiple support agreement, next. 2011 tax calculator Support claimed under a multiple support agreement. 2011 tax calculator   If you are considered to have provided more than half of a qualifying relative's support under a multiple support agreement, you can include medical expenses you pay for that person. 2011 tax calculator A multiple support agreement is used when two or more people provide more than half of a person's support, but no one alone provides more than half. 2011 tax calculator   Any medical expenses paid by others who joined you in the agreement cannot be included as medical expenses by anyone. 2011 tax calculator However, you can include the entire unreimbursed amount you paid for medical expenses. 2011 tax calculator Example. 2011 tax calculator You and your three brothers each provide one-fourth of your mother's total support. 2011 tax calculator Under a multiple support agreement, you treat your mother as your dependent. 2011 tax calculator You paid all of her medical expenses. 2011 tax calculator Your brothers reimbursed you for three-fourths of these expenses. 2011 tax calculator In figuring your medical expense deduction, you can include only one-fourth of your mother's medical expenses. 2011 tax calculator Your brothers cannot include any part of the expenses. 2011 tax calculator However, if you and your brothers share the nonmedical support items and you separately pay all of your mother's medical expenses, you can include the unreimbursed amount you paid for her medical expenses in your medical expenses. 2011 tax calculator Decedent Medical expenses paid before death by the decedent are included in figuring any deduction for medical and dental expenses on the decedent's final income tax return. 2011 tax calculator This includes expenses for the decedent's spouse and dependents as well as for the decedent. 2011 tax calculator The survivor or personal representative of a decedent can choose to treat certain expenses paid by the decedent's estate for the decedent's medical care as paid by the decedent at the time the medical services were provided. 2011 tax calculator The expenses must be paid within the 1-year period beginning with the day after the date of death. 2011 tax calculator If you are the survivor or personal representative making this choice, you must attach a statement to the decedent's Form 1040 (or the decedent's amended return, Form 1040X) saying that the expenses have not been and will not be claimed on the estate tax return. 2011 tax calculator Qualified medical expenses paid before death by the decedent are not deductible if paid with a tax-free distribution from any Archer MSA, Medicare Advantage MSA, or health savings account. 2011 tax calculator Amended returns and claims for refund are discussed in chapter 1. 2011 tax calculator What if you pay medical expenses of a deceased spouse or dependent?   If you paid medical expenses for your deceased spouse or dependent, include them as medical expenses on your Form 1040 in the year paid, whether they are paid before or after the decedent's death. 2011 tax calculator The expenses can be included if the person was your spouse or dependent either at the time the medical services were provided or at the time you paid the expenses. 2011 tax calculator What Medical Expenses Are Includible? Use Table 21-1, later, as a guide to determine which medical and dental expenses you can include on Schedule A (Form 1040). 2011 tax calculator This table does not include all possible medical expenses. 2011 tax calculator To determine if an expense not listed can be included in figuring your medical expense deduction, see What Are Medical Expenses , earlier. 2011 tax calculator Insurance Premiums You can include in medical expenses insurance premiums you pay for policies that cover medical care. 2011 tax calculator Medical care policies can provide payment for treatment that includes: Hospitalization, surgical services, X-rays, Prescription drugs and insulin, Dental care, Replacement of lost or damaged contact lenses, and Long-term care (subject to additional limitations). 2011 tax calculator See Qualified Long-Term Care Insurance Contracts in Publication 502. 2011 tax calculator If you have a policy that provides payments for other than medical care, you can include the premiums for the medical care part of the policy if the charge for the medical part is reasonable. 2011 tax calculator The cost of the medical part must be separately stated in the insurance contract or given to you in a separate statement. 2011 tax calculator Note. 2011 tax calculator When figuring the amount of insurance premiums you can include in medical expenses on Schedule A, do not include any health coverage tax credit advance payments shown in box 1 of Form 1099-H, Health Coverage Tax Credit (HCTC) Advance Payments. 2011 tax calculator Also, do not include insurance premiums attributable to a nondependent child under age 27 if your premiums increased as a result of adding this child to your policy. 2011 tax calculator Employer-sponsored health insurance plan. 2011 tax calculator   Do not include in your medical and dental expenses any insurance premiums paid by an employer-sponsored health insurance plan unless the premiums are included in box 1 of your Form W-2. 2011 tax calculator Also, do not include any other medical and dental expenses paid by the plan unless the amount paid is included in box 1 of your Form W-2. 2011 tax calculator Example. 2011 tax calculator You are a federal employee participating in the premium conversion plan of the Federal Employee Health Benefits (FEHB) program. 2011 tax calculator Your share of the FEHB premium is paid by making a pre-tax reduction in your salary. 2011 tax calculator Because you are an employee whose insurance premiums are paid with money that is never included in your gross income, you cannot deduct the premiums paid with that money. 2011 tax calculator Long-term care services. 2011 tax calculator   Contributions made by your employer to provide coverage for qualified long-term care services under a flexible spending or similar arrangement must be included in your income. 2011 tax calculator This amount will be reported as wages in box 1 of your Form W-2. 2011 tax calculator Health reimbursement arrangement (HRA). 2011 tax calculator   If you have medical expenses that are reimbursed by a health reimbursement arrangement, you cannot include those expenses in your medical expenses. 2011 tax calculator This is because an HRA is funded solely by the employer. 2011 tax calculator Retired public safety officers. 2011 tax calculator   If you are a retired public safety officer, do not include as medical expenses any health or long-term care premiums that you elected to have paid with tax-free distributions from your retirement plan. 2011 tax calculator This applies only to distributions that would otherwise be included in income. 2011 tax calculator Medicare A. 2011 tax calculator   If you are covered under social security (or if you are a government employee who paid Medicare tax), you are enrolled in Medicare A. 2011 tax calculator The payroll tax paid for Medicare A is not a medical expense. 2011 tax calculator   If you are not covered under social security (or were not a government employee who paid Medicare tax), you can voluntarily enroll in Medicare A. 2011 tax calculator In this situation you can include the premiums you paid for Medicare A as a medical expense. 2011 tax calculator Medicare B. 2011 tax calculator   Medicare B is supplemental medical insurance. 2011 tax calculator Premiums you pay for Medicare B are a medical expense. 2011 tax calculator Check the information you received from the Social Security Administration to find out your premium. 2011 tax calculator Medicare D. 2011 tax calculator    Medicare D is a voluntary prescription drug insurance program for persons with Medicare A or B. 2011 tax calculator You can include as a medical expense premiums you pay for Medicare D. 2011 tax calculator Prepaid insurance premiums. 2011 tax calculator   Premiums you pay before you are age 65 for insurance for medical care for yourself, your spouse, or your dependents after you reach age 65 are medical care expenses in the year paid if they are: Payable in equal yearly installments, or more often, and Payable for at least 10 years, or until you reach age 65 (but not for less than 5 years). 2011 tax calculator Unused sick leave used to pay premiums. 2011 tax calculator   You must include in gross income cash payments you receive at the time of retirement for unused sick leave. 2011 tax calculator You also must include in gross income the value of unused sick leave that, at your option, your employer applies to the cost of your continuing participation in your employer's health plan after you retire. 2011 tax calculator You can include this cost of continuing participation in the health plan as a medical expense. 2011 tax calculator   If you participate in a health plan where your employer automatically applies the value of unused sick leave to the cost of your continuing participation in the health plan (and you do not have the option to receive cash), do not include the value of the unused sick leave in gross income. 2011 tax calculator You cannot include this cost of continuing participation in that health plan as a medical expense. 2011 tax calculator Table 21-1. 2011 tax calculator Medical and Dental Expenses Checklist. 2011 tax calculator See Publication 502 for more information about these and other expenses. 2011 tax calculator You can include: You cannot include: Bandages Birth control pills prescribed by your doctor Body scan Braille books Breast pump and supplies Capital expenses for equipment or improvements to your home needed for medical care (see the worksheet in Publication 502) Diagnostic devices Expenses of an organ donor Eye surgery—to promote the correct function of the eye Fertility enhancement, certain procedures Guide dogs or other animals aiding the blind, deaf, and disabled Hospital services fees (lab work, therapy, nursing services, surgery, etc. 2011 tax calculator ) Lead-based paint removal Legal abortion Legal operation to prevent having children such as a vasectomy or tubal ligation Long-term care contracts, qualified Meals and lodging provided by a hospital during medical treatment Medical services fees (from doctors, dentists, surgeons, specialists, and other medical practitioners) Medicare Part D premiums Medical and hospital insurance premiums Nursing services Oxygen equipment and oxygen Part of life-care fee paid to retirement home designated for medical care Physical examination Pregnancy test kit Prescription medicines (prescribed by a doctor) and insulin Psychiatric and psychological treatment Social security tax, Medicare tax, FUTA, and state employment tax for worker providing medical care (see Wages for nursing services, below) Special items (artificial limbs, false teeth, eye-glasses, contact lenses, hearing aids, crutches, wheelchair, etc. 2011 tax calculator ) Special education for mentally or physically disabled persons Stop-smoking programs Transportation for needed medical care Treatment at a drug or alcohol center (includes meals and lodging provided by the center) Wages for nursing services Weight-loss, certain expenses for obesity Baby sitting and childcare Bottled water Contributions to Archer MSAs (see Publication 969) Diaper service Expenses for your general health (even if following your doctor's advice) such as— —Health club dues —Household help (even if recommended by a doctor) —Social activities, such as dancing or swimming lessons —Trip for general health improvement Flexible spending account reimbursements for medical expenses (if contributions were on a pre-tax basis) Funeral, burial, or cremation expenses Health savings account payments for medical expenses Illegal operation, treatment, or medicine Life insurance or income protection policies, or policies providing payment for loss of life, limb, sight, etc. 2011 tax calculator Maternity clothes Medical insurance included in a car insurance policy covering all persons injured in or by your car Medicine you buy without a prescription Nursing care for a healthy baby Prescription drugs you brought in (or ordered shipped) from another country, in most cases Nutritional supplements, vitamins, herbal supplements, “natural medicines,” etc. 2011 tax calculator , unless recommended by a medical practitioner as a treatment for a specific medical condition diagnosed by a physician Surgery for purely cosmetic reasons Toothpaste, toiletries, cosmetics, etc. 2011 tax calculator Teeth whitening Weight-loss expenses not for the treatment of obesity or other disease Meals and Lodging You can include in medical expenses the cost of meals and lodging at a hospital or similar institution if a principal reason for being there is to get medical care. 2011 tax calculator See Nursing home , later. 2011 tax calculator You may be able to include in medical expenses the cost of lodging not provided in a hospital or similar institution. 2011 tax calculator You can include the cost of such lodging while away from home if all of the following requirements are met. 2011 tax calculator The lodging is primarily for and essential to medical care. 2011 tax calculator The medical care is provided by a doctor in a licensed hospital or in a medical care facility related to, or the equivalent of, a licensed hospital. 2011 tax calculator The lodging is not lavish or extravagant under the circumstances. 2011 tax calculator There is no significant element of personal pleasure, recreation, or vacation in the travel away from home. 2011 tax calculator The amount you include in medical expenses for lodging cannot be more than $50 for each night for each person. 2011 tax calculator You can include lodging for a person traveling with the person receiving the medical care. 2011 tax calculator For example, if a parent is traveling with a sick child, up to $100 per night can be included as a medical expense for lodging. 2011 tax calculator Meals are not included. 2011 tax calculator Nursing home. 2011 tax calculator   You can include in medical expenses the cost of medical care in a nursing home, home for the aged, or similar institution, for yourself, your spouse, or your dependents. 2011 tax calculator This includes the cost of meals and lodging in the home if a principal reason for being there is to get medical care. 2011 tax calculator   Do not include the cost of meals and lodging if the reason for being in the home is personal. 2011 tax calculator You can, however, include in medical expenses the part of the cost that is for medical or nursing care. 2011 tax calculator Transportation Include in medical expenses amounts paid for transportation primarily for, and essential to, medical care. 2011 tax calculator You can include: Bus, taxi, train, or plane fares, or ambulance service, Transportation expenses of a parent who must go with a child who needs medical care, Transportation expenses of a nurse or other person who can give injections, medications, or other treatment required by a patient who is traveling to get medical care and is unable to travel alone, and Transportation expenses for regular visits to see a mentally ill dependent, if these visits are recommended as a part of treatment. 2011 tax calculator Car expenses. 2011 tax calculator   You can include out-of-pocket expenses, such as the cost of gas and oil, when you use your car for medical reasons. 2011 tax calculator You cannot include depreciation, insurance, general repair, or maintenance expenses. 2011 tax calculator   If you do not want to use your actual expenses for 2013, you can use the standard medical mileage rate of 24 cents per mile. 2011 tax calculator    You can also include parking fees and tolls. 2011 tax calculator You can add these fees and tolls to your medical expenses whether you use actual expenses or use the standard mileage rate. 2011 tax calculator Example. 2011 tax calculator In 2013, Bill Jones drove 2,800 miles for medical reasons. 2011 tax calculator He spent $500 for gas, $30 for oil, and $100 for tolls and parking. 2011 tax calculator He wants to figure the amount he can include in medical expenses both ways to see which gives him the greater deduction. 2011 tax calculator He figures the actual expenses first. 2011 tax calculator He adds the $500 for gas, the $30 for oil, and the $100 for tolls and parking for a total of $630. 2011 tax calculator He then figures the standard mileage amount. 2011 tax calculator He multiplies 2,800 miles by 24 cents a mile for a total of $672. 2011 tax calculator He then adds the $100 tolls and parking for a total of $772. 2011 tax calculator Bill includes the $772 of car expenses with his other medical expenses for the year because the $772 is more than the $630 he figured using actual expenses. 2011 tax calculator Transportation expenses you cannot include. 2011 tax calculator   You cannot include in medical expenses the cost of transportation in the following situations. 2011 tax calculator Going to and from work, even if your condition requires an unusual means of transportation. 2011 tax calculator Travel for purely personal reasons to another city for an operation or other medical care. 2011 tax calculator Travel that is merely for the general improvement of one's health. 2011 tax calculator The costs of operating a specially equipped car for other than medical reasons. 2011 tax calculator Disabled Dependent Care Expenses Some disabled dependent care expenses may qualify as either: Medical expenses, or Work-related expenses for purposes of taking a credit for dependent care. 2011 tax calculator (See chapter 32 and Publication 503, Child and Dependent Care Expenses. 2011 tax calculator ) You can choose to apply them either way as long as you do not use the same expenses to claim both a credit and a medical expense deduction. 2011 tax calculator How Do You Treat Reimbursements? You can include in medical expenses only those amounts paid during the taxable year for which you received no insurance or other reimbursement. 2011 tax calculator Insurance Reimbursement You must reduce your total medical expenses for the year by all reimbursements for medical expenses that you receive from insurance or other sources during the year. 2011 tax calculator This includes payments from Medicare. 2011 tax calculator Even if a policy provides reimbursement for only certain specific medical expenses, you must use amounts you receive from that policy to reduce your total medical expenses, including those it does not reimburse. 2011 tax calculator Example. 2011 tax calculator You have insurance policies that cover your hospital and doctors' bills but not your nursing bills. 2011 tax calculator The insurance you receive for the hospital and doctors' bills is more than their charges. 2011 tax calculator In figuring your medical deduction, you must reduce the total amount you spent for medical care by the total amount of insurance you received, even if the policies do not cover some of your medical expenses. 2011 tax calculator Health reimbursement arrangement (HRA). 2011 tax calculator   A health reimbursement arrangement is an employer-funded plan that reimburses employees for medical care expenses and allows unused amounts to be carried forward. 2011 tax calculator An HRA is funded solely by the employer and the reimbursements for medical expenses, up to a maximum dollar amount for a coverage period, are not included in your income. 2011 tax calculator Other reimbursements. 2011 tax calculator   Generally, you do not reduce medical expenses by payments you receive for: Permanent loss or loss of use of a member or function of the body (loss of limb, sight, hearing, etc. 2011 tax calculator ) or disfigurement to the extent the payment is based on the nature of the injury without regard to the amount of time lost from work, or Loss of earnings. 2011 tax calculator   You must, however, reduce your medical expenses by any part of these payments that is designated for medical costs. 2011 tax calculator See How Do You Figure and Report the Deduction on Your Tax Return , later. 2011 tax calculator   For how to treat damages received for personal injury or sickness, see Damages for Personal Injuries , later. 2011 tax calculator You do not have a medical deduction if you are reimbursed for all of your medical expenses for the year. 2011 tax calculator Excess reimbursement. 2011 tax calculator   If you are reimbursed more than your medical expenses, you may have to include the excess in income. 2011 tax calculator You may want to use Figure 21-A to help you decide if any of your reimbursement is taxable. 2011 tax calculator Premiums paid by you. 2011 tax calculator   If you pay either the entire premium for your medical insurance or all of the costs of a plan similar to medical insurance and your insurance payments or other reimbursements are more than your total medical expenses for the year, you have an excess reimbursement. 2011 tax calculator Generally, you do not include the excess reimbursement in your gross income. 2011 tax calculator Premiums paid by you and your employer. 2011 tax calculator   If both you and your employer contribute to your medical insurance plan and your employer's contributions are not included in your gross income, you must include in your gross income the part of your excess reimbursement that is from your employer's contribution. 2011 tax calculator   See Publication 502 to figure the amount of the excess reimbursement you must include in gross income. 2011 tax calculator Reimbursement in a later year. 2011 tax calculator   If you are reimbursed in a later year for medical expenses you deducted in an earlier year, you generally must report the reimbursement as income up to the amount you previously deducted as medical expenses. 2011 tax calculator   However, do not report as income the amount of reimbursement you received up to the amount of your medical deductions that did not reduce your tax for the earlier year. 2011 tax calculator For more information about the recovery of an amount that you claimed as an itemized deduction in an earlier year, see Itemized Deduction Recoveries in chapter 12. 2011 tax calculator Figure 21-A. 2011 tax calculator Is Your Excess Medical Reimbursement Taxable? Please click here for the text description of the image. 2011 tax calculator Figure 21-A. 2011 tax calculator Is Your Excess Medical Reimbursement Taxable? Medical expenses not deducted. 2011 tax calculator   If you did not deduct a medical expense in the year you paid it because your medical expenses were not more than 10% of your AGI (7. 2011 tax calculator 5% of your AGI if either you or your spouse was age 65 or older), or because you did not itemize deductions, do not include the reimbursement up to the amount of the expense in income. 2011 tax calculator However, if the reimbursement is more than the expense, see Excess reimbursement , earlier. 2011 tax calculator Example. 2011 tax calculator For 2013, you were unmarried and under age 65 and you had medical expenses of $500. 2011 tax calculator You cannot deduct the $500 because it is less than 10% of your AGI. 2011 tax calculator If, in a later year, you are reimbursed for any of the $500 in medical expenses, you do not include the amount reimbursed in your gross income. 2011 tax calculator Damages for Personal Injuries If you receive an amount in settlement of a personal injury suit, part of that award may be for medical expenses that you deducted in an earlier year. 2011 tax calculator If it is, you must include that part in your income in the year you receive it to the extent it reduced your taxable income in the earlier year. 2011 tax calculator See Reimbursement in a Later Year , discussed under How Do You Treat Reimbursements, earlier. 2011 tax calculator Future medical expenses. 2011 tax calculator   If you receive an amount in settlement of a damage suit for personal injuries, part of that award may be for future medical expenses. 2011 tax calculator If it is, you must reduce any future medical expenses for these injuries until the amount you received has been completely used. 2011 tax calculator How Do You Figure and Report the Deduction on Your Tax Return? Once you have determined which medical expenses you can include, you figure and report the deduction on your tax return. 2011 tax calculator What Tax Form Do You Use? You figure your medical expense deduction on Schedule A (Form 1040). 2011 tax calculator You cannot claim medical expenses on Form 1040A or Form 1040EZ. 2011 tax calculator If you need more information on itemized deductions or you are not sure if you can itemize, see chapter 20. 2011 tax calculator Enter the amount you paid for medical and dental expenses on Schedule A (Form 1040). 2011 tax calculator This should be your expenses that were not reimbursed by insurance or any other sources. 2011 tax calculator Generally, you can deduct only the amount of your medical and dental expenses that is more than 10% of your AGI (7. 2011 tax calculator 5% if either you or your spouse was age 65 or older) shown on line 38, Form 1040. 2011 tax calculator Impairment-Related Work Expenses If you are a person with a disability, you can take a business deduction for expenses that are necessary for you to be able to work. 2011 tax calculator If you take a business deduction for impairment-related work expenses, do not take a medical deduction for the same expenses. 2011 tax calculator You have a disability if you have: A physical or mental disability (for example, blindness or deafness) that functionally limits your being employed, or A physical or mental impairment (for example, a sight or hearing impairment) that substantially limits one or more of your major life activities, such as performing manual tasks, walking, speaking, breathing, learning, or working. 2011 tax calculator Impairment-related expenses defined. 2011 tax calculator   Impairment-related expenses are those ordinary and necessary business expenses that are: Necessary for you to do your work satisfactorily, For goods and services not required or used, other than incidentally, in your personal activities, and Not specifically covered under other income tax laws. 2011 tax calculator Where to report. 2011 tax calculator   If you are self-employed, deduct the business expenses on the appropriate form (Schedule C, C-EZ, E, or F) used to report your business income and expenses. 2011 tax calculator   If you are an employee, complete Form 2106, Employee Business Expenses, or Form 2106-EZ, Unreimbursed Employee Business Expenses. 2011 tax calculator Enter on Schedule A (Form 1040), that part of the amount on Form 2106, or Form 2106-EZ, that is related to your impairment. 2011 tax calculator Enter the amount that is unrelated to your impairment also on Schedule A (Form 1040). 2011 tax calculator Your impairment-related work expenses are not subject to the 2%-of-adjusted-gross-income limit that applies to other employee business expenses. 2011 tax calculator Example. 2011 tax calculator You are blind. 2011 tax calculator You must use a reader to do your work. 2011 tax calculator You use the reader both during your regular working hours at your place of work and outside your regular working hours away from your place of work. 2011 tax calculator The reader's services are only for your work. 2011 tax calculator You can deduct your expenses for the reader as business expenses. 2011 tax calculator Health Insurance Costs for Self-Employed Persons If you were self-employed and had a net profit for the year, you may be able to deduct, as an adjustment to income, amounts paid for medical and qualified long-term care insurance on behalf of yourself, your spouse, your dependents, and, your children who were under age 27 at the end of 2013. 2011 tax calculator For this purpose, you were self-employed if you were a general partner (or a limited partner receiving guaranteed payments) or you received wages from an S corporation in which you were more than a 2% shareholder. 2011 tax calculator The insurance plan must be established under your trade or business and the deduction cannot be more than your earned income from that trade or business. 2011 tax calculator You cannot deduct payments for medical insurance for any month in which you were eligible to participate in a health plan subsidized by your employer, your spouse's employer, or, an employer of your dependent or your child under age 27 at the end of 2013. 2011 tax calculator You cannot deduct payments for a qualified long-term care insurance contract for any month in which you were eligible to participate in a long-term care insurance plan subsidized by your employer or your spouse's employer. 2011 tax calculator If you qualify to take the deduction, use the Self-Employed Health Insurance Deduction Worksheet in the Form 1040 instructions to figure the amount you can deduct. 2011 tax calculator But if any of the following applies, do not use that worksheet. 2011 tax calculator You had more than one source of income subject to self-employment tax. 2011 tax calculator You file Form 2555, Foreign Earned Income, or Form 2555-EZ, Foreign Earned Income Exclusion. 2011 tax calculator You are using amounts paid for qualified long-term care insurance to figure the deduction. 2011 tax calculator If you cannot use the worksheet in the Form 1040 instructions, use the worksheet in Publication 535, Business Expenses, to figure your deduction. 2011 tax calculator Note. 2011 tax calculator When figuring the amount you can deduct for insurance premiums, do not include any advance payments shown on Form 1099-H, Health Coverage Tax Credit (HCTC) Advance Payments. 2011 tax calculator If you are claiming the health coverage tax credit, subtract the amount shown on Form 8885, from the total insurance premiums you paid. 2011 tax calculator Do not include amounts paid for health insurance coverage with retirement plan distributions that were tax-free because you are a retired public safety officer. 2011 tax calculator Where to report. 2011 tax calculator    You take this deduction on Form 1040. 2011 tax calculator If you itemize your deductions and do not claim 100% of your self-employed health insurance on Form 1040, you can generally include any remaining premiums with all other medical expenses on Schedule A (Form 1040), subject to the 10% limit (7. 2011 tax calculator 5% if either you or your spouse was age 65 or older). 2011 tax calculator See Self-Employed Health Insurance Deduction in chapter 6 of Publication 535, Business Expenses, and Medical and Dental Expenses in the Instructions for Schedule A (Form 1040), for more information. 2011 tax calculator Prev  Up  Next   Home   More Online Publications