Van pays the following medical expenses this year: • $1,500 for doctor bills for Van's son who is claimed as a dependent by Van's former spouse.
• $300 for Van's eyeglasses.
• $900 for Van's dental work.
• $3,800 for Van's face lift.Van,a newscaster,is worried about the wrinkles around his eyes.
How much can Van include on his return as qualified medical expenses before limitation?
A)$1,200
B)$2,400
C)$2,700
D)$6,500

Question

Quizplus · Accepted Answer

Van can include all of the expenses except for the $1,500 for his son as qualified medical expenses. The total amount is $5,500. However, there is a limitation on medical expenses that can be deducted based on adjusted gross income (AGI). In 2020, the threshold is 7.5% of AGI. Assuming Van's AGI is high enough, he can deduct $2,700 of the medical expenses on his tax return.

Van Pays the Following Medical Expenses This Year: • $1,500