If you had a significant amount of medical expenses in the last year, you’re probably contemplating what deductions you can claim in your 2025 tax return. The income-based thresholds as well as other rules could make it difficult to claim medical expense deduction. In addition there are more kinds of expenses that could be qualified than you think.
Limits On Deductions
Medical expenses are tax-deductible only if they were not reimbursed by insurance or paid through the tax advantaged account (such as Flexible Spending Accounts and Health Savings Accounts). Furthermore, they’re deductible only to the extent that, in aggregate, they exceed 7.5% of your adjusted gross income (AGI).
For instance, the 2025 AGI was $100,000, your medical expenses for the year must total at least $7,500 to be eligible for the deduction but only the amount above that is deductible. If you have $10,000 of eligible expenses, your possible deduction could be $2,500.
Additionally, medical expenses can be deducted only when you make itemized deductions. In order to make itemizing a benefit, your itemized deductions should be greater than the standard deduction. In light of the changes in the Tax Cuts and Jobs Act that were made permanent through the last season’s One Big Beautiful Bill Act (OBBBA), the majority of taxpayers no longer itemize.
But, some taxpayers who haven’t itemized in recent years may be able to benefit from itemizing in 2025 due to the quadrupling by the OBBBA of the local and state tax deduction limits. If you’re in this category, it is advisable to reconsider whether you are eligible to take advantage of the deduction for medical expenses for your 2025 income tax return.
What Are The Eligible Expenses?
If you plan to claim deductions for itemization in your 2025 tax return, it is a good time to look over your medical expenses for the year to determine whether you could exceed the 7.5% of AGI floor. The eligible expenses can include a variety of costs apart from doctor and hospital bills. Below are other kinds of expenses you might have experienced in 2025 which could be tax-deductible:
Transportation: Costs of transport to and from medical facilities is a deductible expense. This can include taxi fares and public transportation as well as your personal vehicle. The cost of your vehicle can be estimated as 21 cents/mile for medical mileage to be driven by 2025, plus parking and tolls. Alternatively, you may take deductions for certain costs associated with your vehicle such as oil and gas however, not general expenses like maintenance, insurance or depreciation.
Insurance Premiums: Health insurance is an expense in medical treatment that could amount to thousands of dollars each year. Even if your employer offers you with insurance you can claim the portion of premiums you have paid provided that it was not taken out as pretax paycheques.
Long-term care insurance premiums may also be considered with dollar limits that are based on the age. The limits for 2025 are as follows:
- 40 and below: $480
- 41 to 50: $900
- 51 to 60: $1,800
- 61 to 70: $4,810
- Over 70: $6,020
Nurses And Therapists: Services offered by people who aren’t doctors can be considered in the event that they relate to a medical condition, and aren’t used for general health reasons. For instance, the cost of physical therapy following knee surgery is eligible, however an individual trainer’s fee who will assist you in getting fit does not. Additionally, there are certain amounts that qualify to acupuncture practitioners and to a psychologist for medical treatment. Furthermore, certain long-term care services needed by chronically sick people are also admissible.
Hearing Aids, Eyeglasses As Well As Prescriptions For Dental Work: Deductible expenses are the costs of contacts, glasses, dentures, hearing aids and the majority of dental procedures. The expenses that are strictly cosmetic (such as teeth bleaching) aren’t eligible, however certain cosmetic procedures that are medically required are tax-deductible. Prescription medications are eligible, however non-prescription medications like aspirin aren’t, even when the doctor recommends them.
Smoking-Cessation Programs: Costs paid to take part in a program for smoking cessation and prescription drugs that are intended to help ease withdrawal symptoms from nicotine are tax-deductible expenses. But, nonprescription chewing gum and nicotine patches in particular aren’t.
Weight-Loss Programs: A weight-loss plan is an expense that is tax-deductible if it is undertaken in the treatment of a disease identified by a physician. It could be due to an illness, such as obesity, or another like hypertension. In this case, the doctor recommends that you reduce weight. It’s best to have a doctor’s note on the diagnosis. In these instances, tax-deductible expenses can include the cost for joining a weight-loss program and to attend meetings. But, meals associated with a weight loss program typically aren’t tax-deductible.
Dependents And Others: You can deduct medical expenses you incur to dependents like your children. In addition, you might be eligible to claim medical expenses you are responsible for with regard to an individual like grandparents or parents that would be considered a dependent, except if he or she is earning too much gross income, or has a joint filing. Most of the time, medical expenses incurred by children of divorced parents could be deductible by the parent that pays the expenses.
Finding Out If You Could Gain
After looking over the list of eligible expenses, do you think you have enough money in 2025 to surpass the 7.5% of AGI floor? Do you have any questions regarding whether certain expenses are eligible? Contact Parr & Ibarra CPA in Fort Worth, Texas. We can determine whether you are eligible for deducting medical expenses as well as other tax breaks in your 2025 income tax return.
