Question

2020 Prepaid Medical Expenses, where do I claim this deduction?

Forum|Forum|5 years ago
March 29, 2021
1 reply
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We live in a 'Senior Living Center' or 'Life Care" facility. 17% of our monthly service fees go for prepaid health care. Where do I claim this?

Deduction

G

gloriah5200

You can check with your Senior Living Center to see if they are actually considering this cost to be a medical expense. If so, then you can deduct it on your return as medical expenses paid.

Otherwise, the way they treat the income will determine where you would be able to take the deduction on your return unless it goes into an escrow account and if that is the case it will not be deductible until it is used for medical expenses.