Unusual Tax Deductions that May Be Weird, But Still Pay Off
Unusual tax deductions? Sometimes it feels unusual that we get any tax deductions at all. But if you itemize like some past taxpayers, these deductions, though a little strange, can save money come tax time.
Unusual Tax Deductions: Medical
If you itemize your deductions, you can deduct some of your medical expenses. There are two caveats. First, the medical expense must be directly related to a specific condition (and generally, prescribed by a doctor). Second, only the portion of medical expenses greater that 7.5 percent of your gross income is deductible.
Plastic Surgery
If your plastic surgery is to repair a deformity/disfigurement caused by birth, disease or accident, the expense is deductible. But did you know that a U.S. court ruled that an exotic dancer could deduct the cost of her breast implants? Although they ruled she could deduct the implants as a business expense, not a medical expense
Elevator
If circumstances require you to stay in your multi-story house and you have mobility problems, you can deduct the cost of an elevator as a medical expense.
Clarinet Lessons
After an orthodontist told a parent that clarinet lessons would correct her child’s overbite, a court ruled she could take the medical expense for the cost of the lessons.
Swimming Pool
Swimming is good for fitness, but that’s not enough to deduct the cost of a pool. But if a doctor prescribes regular swimming for you (to relieve arthritis, say), you can.
Tutors
If your child is diagnosed with a learning disorder, you can deduct the cost of a tutor as a medical expense.
Other Unusual Tax Deductions
Wedding Leftovers
Donate that leftover catering, and/or your wedding dress, to charity and you can claim the value as a charitable expense.
Free Beer
A gas station owner was able to claim the cost of his free beer giveaway to attract customers as a business expense.
Before you rush out to buy breast implants or a hire a clarinet tutor (or purse any of the expenses listed above), be sure to check with your accountant to make sure the deductions are valid in your case.
Links
The IRS has an overview of allowable medical and dental expenses.
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