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Deductions For People On Medicare. For taxation purposes a person can claim a Medicare Deduction to help minimize the amount of taxes that they owe. That is that if a person is required to pay a substantial amount of costs as per there Medicare plan, those costs can be offset by the tax deduction.
In order to claim a medical expense tax deduction on Schedule A, your expenses have to add up to at least 10 percent of your adjusted gross income. You only get to deduct the expenses that exceed this 10 percent threshold. For example, if your adjusted gross income is $100,000 and you have $12,000 in qualified medical expenses, youâll get to deduct $2,000. The first $10,000 of your medical expenses is used to meet the 10 percent threshold. The remaining $2,000 can be claimed as a tax deduction. The deduction threshold used to be 7.5 percent of adjusted gross income, but it increased to 10 percent in 2013. However, if you or your spouse was 65 or older, the IRS kept the threshold at 7.5% of your adjusted gross income through 2016.