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Chapter 8 Homework Itemized Deductions (LO. 4) Rebecca and Irving incur the following medical expenses during 2020: Medical insurance premiums $4,505 Hospital 940 Doctors 1,875
Chapter 8 Homework Itemized Deductions (LO. 4) Rebecca and Irving incur the following medical expenses during 2020: Medical insurance premiums $4,505 Hospital 940 Doctors 1,875 Dentist 590 Veterinarian 180 Chiropractor 210 Cosmetic surgery 1,540 Over-the-counter drugs 150 Prescription drugs 205 Crutches 90 They receive $3,890 in reimbursements from their insurance company of which $265 is for the cosmetic surgery. Refer to Exhibit 8-2 to answer the following questions. If an amount is zero, enter "O". What is their medical expense deduction if their adjusted gross income is the following: a. Adjusted gross income of $43,000. Their medical expense deduction is $ b. Adjusted gross income of $71,000. Their medical expense deduction is $ Exhibit 8-2 Examples of Medical Expenses Deductible Items Nondeductible Items Toothpaste Cosmetics Vitamins for general health Veterinarian's fees Illegal operations or drugs Cosmetic surgery Funeral or burial expenses The cost of all medical drugs, special foods, and drinks your doctor prescribes for treatment of an illness; pills or other birth control items your doctor prescribes; vitamins, iron, etc. your doctor prescribes; insulin. Payments to or for a doctor, surgeon, dentist, osteopath, ophthalmologist, optometrist, psychiatrist, psychologist, hospital care, therapy, lab fees, diagnostic tests, X-ray examination or treatment, nursing care. Special items or equipment such as false teeth, eyeglasses, hearing aids, crutches, prescribed elastic hose, artificial limbs, guide dogs for the blind or deaf, motorized wheelchair, hand controls on a car, special telephone for the deaf. Transportation to get medical care-to and from doctor, dentist, hospital, etc. Health and accident insurance premiums, Medicare premiumsParts A and B. Maternity clothing Diaper service Life insurance premiums Loss-of-earnings insurance premiums Automobile insurance premiums
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