Question

Mary's medical expenses include the following:

Medical premiums 1,850, doctors fees 1,000, hosptial fees 1,350, prescription drugs 300, eyeglasses 350, general purpose vitamins 100

Mary's AGI for the year is 30,000 and she has other itemized deductions. Calculate Mary's deductible medical expenes to be added to her other itemized deductions.

Answer 1

we can include the qualified medical expenses for the year for deduction.is Based on AGI Because

The permissible amount that can be claimed as deduction is the expense which is more than 10% of your adjusted gross income.

So in This question, total medical expense of Mary"s is (Expenses on Vitamins doesn't qualify for deduction):

Medical Premium $1,850

Doctor Fees $1,000

Hospital Fees $1,350

Drugs $300

Eyeglasses $350

(Expenses on Vitamins doesn't qualify for deduction):

Total $4,850

so Deduction amount = $4,850 - $3,000 ($30,000*0.10) = $1,850.