So I’ve been off the illegitimate internet drugs for 22 days now. Things are getting better every day.
I’ve got a tax question for anybody who might know…
So I’ve got all these Visa statements that show my purchases at these nasty websites. Typically I’m billed by the consult and then the meds pharmacy.
Could those consults and scripts be tax deductible under medical expenses? I’m pretty certain that the amount would exceed the percentage required. Would I need more documentation than a Visa bill? I’ve deleted all footprints of all of the sites, so I couldn’t really get any “receipts”.
Frankly, with being so deep in debt right now, I would take advantage of any tax deduction that’s legal .
as always, TIA!
This is based on my experience as an HR person answering employee questions about benefits. So don’t mistake it for qualified tax advice …
But we always advised people that the correct documentation to save for tax purposes for prescriptions was not the credit card (or even cash/check) receipt, but the pharmacy statement that is on the prescription when you pick it up. It has the cost as well as what the medication was. For medical bills, it would be the Explanation of Benefits, since when it comes to deducting anything you could only deduct the portion not eligible for insurance coverage. This is also the documentation people needed to provide to use their pre-tax healthcare reimbursement account.
I’m speculating here, but it seems like this type of deduction might also be a red flag that could make an audit more likely, probably the last thing you need.
Best of luck to you.
Are you referring to drugs that are actually illegal, or, say, prescription drugs that you’ve ordered from another country, or . . . what?
Based on his earlier threads, he was getting “online internet pharmacy doctors” to prescribe him painkillers.
Normally an RX fill should be a legit medical deduction if these were prescription drugs dispensed by a licensed pharmacist based on a real doctor’s prescription.
I’d ask my tax accountant before filing my tax returns with this on them…
I do taxes, but not yours. So contact whoever does yours and don’t take my advice, because it’s probably wrong and will lead to you being eaten by crocodiles or badgers or something.
Documentation that is considered appropriate for such deductions are, as was already stated, the actual slip from the pharmacy showing how much you paid. A regular receipt would be fine, but generally the pharmacy would also give you a print out listing your name, their name, your account number, the drug, how much it cost, and how much you paid.
I’m not sure of your tax situation, but you may want to be careful. The IRS is getting much harsher with their rules about deductions. Either have a GOOD CPA prepare your returns or be tremendously wary of what you’re deducting. If you are making $40,000 a year but supposedly spending $20k a year on prescriptions but not doctor visits, they are going to get a little curious. The incidence of audits is goin’ way way up, so I’d be very careful what I try to frivolously deduct.
Also, your medical expenses have to be more than 7.5% of your gross income to even be deductible and even then you have to be ready to itemize like the proverbial mother fuck.