Are Hearing Aids Tax Deductible?

Are you someone who has been diagnosed with hearing loss and is worried about the financial burden of purchasing hearing aids? You are not alone. The high costs associated with these devices can be a major stressor for many individuals. In fact, many people who need hearing aids forgo purchasing them altogether because of the costs.

The good news is that you may be able to get the costs of these devices and other related medical expenses deducted from your taxes. In this blog post, we will answer the question of whether hearing aids are tax deductible.

What are hearing aids?

Hearing aids are electronic devices designed to improve hearing by making sound audible to a person with hearing loss. They are commonly prescribed to individuals with various degrees of hearing impairment, ranging from mild to severe. These devices can significantly enhance the quality of life by improving communication abilities, reducing the feeling of isolation, and promoting better overall hearing health.

People who need hearing aids typically include those diagnosed with sensorineural hearing loss, conductive hearing loss, or mixed hearing loss. Hearing aids come in various styles and sizes, customized to fit the specific needs and preferences of the user.

Are hearing aids tax deductible?

Yes, hearing aids are tax deductible. You can deduct the cost of hearing aids as they qualify as medical expenses under the IRS guidelines. To deduct hearing aids from your taxes, your total medical expenses must exceed 7.5% of your adjusted gross income (AGI).

For example, if your AGI is $80,000, your medical expenses, including hearing aids, must be more than $6,000 to qualify for a tax deduction.

To claim this deduction, you need to itemize your deductions on Form 1040, Schedule A. Keep all receipts and documentation related to your medical expenses, as they may be required to substantiate your claim.

It's important to note that only the amount exceeding 7.5% of your AGI can be deducted. Therefore, careful record-keeping is essential to ensure you can deduct the cost of hearing aids appropriately.

For example, John, who earns $70,000, would need his medical expenses to exceed $5,250 (7.5% of his AGI) to qualify for a deduction. If his hearing aids cost $6,000, he can deduct $750. On the other hand, Sally, earning $90,000, would need her medical expenses to exceed $6,750. If her expenses total only $5,000, she cannot deduct any amount since it does not meet the threshold.

What other hearing loss expenses can qualify as medical expenses?

In addition to hearing aids, several other hearing loss-related expenses qualify as medical expenses. These include hearing aid batteries and replacements, which are essential for the continuous functioning of the device.

Consultations and doctor tests related to hearing loss, such as audiograms or follow-up visits, are also covered. Transportation costs to and from medical appointments, whether for routine check-ups or specialist consultations, can be included as well.

Additionally, hearing aid accessories like ear molds or special cleaning kits, which help maintain the device's performance and hygiene, are part of these qualifying medical expenses.

Make sure to keep receipts and detailed records of these expenses. Take note that to reach the 7.5% threshold, you can also add the costs of other medical and dental expenses. Costs like prescription eyeglasses, contact lenses, and medical treatments not covered by your insurance premiums can also be included.

If the total of these qualifying medical expenses, including the cost of hearing aids, exceeds 7.5% of your adjusted gross income, they can be deducted from your taxes.

Are there other tax credits I can claim?

Yes, there are other tax credits you may be eligible for, in addition to deducting medical expenses related to hearing aids. While there is no specific hearing aid assistance tax credit yet, you can consult your accountant with the following tax credits.

• Disability Tax Credit
• The Earned Income Tax Credit (EITC)

These credits can provide significant financial relief, but it’s crucial to ensure you meet all the eligibility requirements. Consulting with a tax expert can help you maximize your benefits while ensuring compliance with tax laws.

Consult the best tax resolution expert

Understanding the tax implications of medical expenses, including hearing aids, can help you reduce your taxable income and potentially save money. If the costs of your hearing aids are adding up, you can consult a tax resolution expert to help you see whether these costs can be deducted.