Tax deductions for medical expenses
Allan Madan, CPA, CA
Many out-of-pocket costs qualify
by Bryan Borzykowski March 30th, 2016. From the April 2016 issue of the magazine MoneySense.
Come tax-filing time, be sure to dig up all drug and dental receipts. Any claims that aren’t covered by an employer plan qualify for a 15% tax credit. In fact, many health-related costs you pay out of pocket qualify—everything from vision care to fertility procedures. And here’s something else: You can claim your group benefits. “Most people don’t know that you can write-off some of that pesky fee you have to pay every year to kick-start your employer plan,” says Allan Madan, a CPA with Madan Chartered Accountant in Mississauga, Ont.
The bottom line: This deduction applies to a portion of your medical expenses. Take 3% of your income or $2,208 (whichever is less), and subtract that figure from your medical costs. You can claim 15% of this final figure. Talk about a prescription for savings!
More tax tips here.
Disclaimer
The information provided on this page is intended to provide general information. The information does not take into account your personal situation and is not intended to be used without consultation from accounting and financial professionals. Allan Madan and Madan Chartered Accountant will not be held liable for any problems that arise from the usage of the information provided on this page.
ABOUT THE AUTHOR
ALLAN MADAN
CPA, CA
Allan Madan is a CPA, CA and the founder of Madan Chartered Accountant Professional Corporation. Allan provides valuable tax planning, accounting and income tax preparation services in the Greater Toronto Area.
