Year 1, John incurred $2,000 of medical expenses but was only able to deduct $500 of them because of the medical deduction floor. In year 2, John received a reimbursement from his insurance company (he pays his own premiums) of $1,600 of his Year 1 medical expenses. How much of the insurance reimbursement can John exclude?

1 ear 1 , John incurred $2,000 of medical expenses but was only able to deduct $500 of them because of the medical deduction floor. In year 2 , John received a reimbursement from his insurance company (he pays his own premiums) of $1,600 of his Year 1 medical expenses. How much of the insurance reimbursement can John exclude