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Can a taxpayer take a deduction for premiums paid for health insurance? How do reimbursements from...

Can a taxpayer take a deduction for premiums paid for health insurance? How do reimbursements from health insurance policies affect the amount of the medical deduction? What happens if an insurance reimbursement for medical expenses is received in a subsequent tax year?

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Answer #1

Yes, Health insurance premiums are eligible for the tax deduction. You can only deduct the premiums that you pay. Not what your employer spends for your coverage.

The medical expense deduction is an itemized deduction, which means it can only be used if someone turns down the standard deduction to claim it.

If you got a 2019 reimbursement for medical expenses you paid in 2018 or a prior year, include the reimbursement or the amount of the medical deduction you got in the prior year (whichever is less) on your 2019 taxes.

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