Deductible Medical Expenses
Filling in our tax return is something nearly all of us dread, due to the time it can take and the confusion it can sometimes cause. That’s why a large proportion of the population hire a certified public accountant to take on the responsibility on their behalf.
Taking the route of hiring professional help can ensure you receive all the tax benefits you’re eligible for. One such example of this is deductible medical expenses.
The rebate system in relation to medical costs is designed to help those on a low income afford any basic care they need. If someone responsible for providing their own care or the care of a loved one spends over 10% of their gross annual income on health-related items, they may be due a partial refund in relation to the state’s sales tax.
In Connecticut, the current rate of sales tax stands at 6.35%. If a person,who had already spent over 10% of their gross annual income, were to purchase a pair of reading glasses in the state, they would be able to claim the cost of the sales tax on the item on their tax return.
Of course, if someone isn’t an expert in the tax field, the whole system can be quite hard to understand, so to give you a better idea as to what a person can and cannot claim under the scheme, we’ve come up with a list of eligible items below:
- Artificial limbs
- Hearing aids
- Acupuncture treatment
- Cost of transportation to get to a medical appointment
- Any renovations to make a property more senior friendly
- Many more
The Internal Revenue Service’s website has a full list of items that fall under the scheme, so if you want to work out whether it is worth your time filling in an itemized return, as opposed to choosing a standard deduction rate, their website is always a good place to start.
If you want to move forward with an itemized return but don’t know where to start, speak to a certified public accountant. Many only charge a percentage of whatever refund you’re due, so in essence, it’s a free service.
Don’t Overpay if You Don’t Need to!
Last year, over 2.2 million U.S. citizens received a smaller tax rebate than what they were due because of the fact they chose a standard deduction rate over an itemized return, according to data from the U.S. Accountability Scheme.
Many simply fail to realize that nursing or in-home care in Manchester is something that is eligible for a sales tax refund, so instead, choose a standard deduction rate, something that could potentially make them miss out on thousands upon thousands over the course of a working lifetime.
To find out what tax breaks you’re eligible for, it’s best to spend some time reading up on the topic. Although it may seem monotonous and boring at the time, it certainly won’t feel that way, once you receive a rather large check from the Internal Revenue Service.