Are assisted living expenses deductible?

August 20, 2014 by Dave Du Val, EA
Nurse helping woman

Hey Dave,

My brother is in assisted living; what part of his expenses can be deducted? He needs assistance with getting dressed and all daily hygiene activities.

Peggy

 

Peggy,

If a principal reason your brother is in the home is to receive medical care, the costs of meals and lodging in the home would be deductible on your return if your brother qualifies as your dependent − or if he would qualify as your dependent except for the Income Test. The fact that he needs assistance with bathing and hygiene would qualify him as a “chronically ill individual” under IRS rules, and, therefore, the expenses would be deductible.

Deductibly Yours,

Dave

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Dave Du Val, EA

Dave Du Val, EA
Chief Compliance Officer for TRI Holdco

 
Dave Du Val, EA, is Chief Compliance Officer for TRI Holdco. Inc., the parent company of TaxAudit, and Centenal Tax Group. A nationally recognized speaker and educator, Dave is well known for his high energy and dynamic presentation style. He is a frequent and popular guest speaker for the California Society of Tax Consultants, the California Society of Enrolled Agents and the National Association of Tax Professionals. Dave frequently contributes tax tips and information to news publications, including US News and World Report, USA Today, and CPA Practice Advisor. Dave is an Enrolled Agent who has prepared thousands of returns during his career and has trained and mentored hundreds of tax professionals. He is a member of the National Association of Tax Professionals, the National Association of Enrolled Agents and the California Society of Enrolled Agents. Dave also holds a Master of Arts in Education and has been educating people since 1972. 
 

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