Medical Expenses

Liberty Tax Service reminds you not to overlook medical deductions for which you qualify. Hearing aids, eyeglasses, contact lenses, hospital fees for nursing, physical therapy, lab tests and x-rays are all deductible. You may also deduct mileage driven to fill prescriptions at 23.5 cents per mile driven. Taxpayers who itemize can deduct unreimbursed medical expenses that they paid during the year if these exceed 10% of their adjusted gross income (7.5% of their adjusted gross income if age 65 or older).