Curious - IVF Tax Write off?

rjc0704 · 04-18-2008, 06:19 AM

Hi everyone. Hope all is well. I have a curious question. I've caught a few comments re: IVF being tax write off. Has anyone done it and have any info on it? Curious to know what part(s) and percentages can be write off.
We are paying 1/2 cash 1/2 financing. Hoping for some relief. though we have great credit, the financing is very high.

It would be nice to get a little break from the government!! Not trying to make a controversal stink here, but in CT they actually pay for abortions with our tax $$, yet they won't at least mandate insurance coverage for fertility treatments. I think that sticks to high Heaven!!!

If anyone has any experience and advice regarding tax deductions- much appreciated!

Baby dust for all!

Rhonda

rjc0704 · 04-18-2008, 06:42 AM

ok - I learned a few key things about tax write off. The expense has to exceed 7% of income (I don't know if that's adjusted or gross) for any deduction. Also, the best way to maximize what you can get back is by setting up flexable spending acct through an employer because it lowers your income bracket/taxes.

That's all I have for now.

yaoming · 04-18-2008, 09:03 AM

check out irs.gov publication 502 fertility inhancements include all ivf costs...

bhk · 04-18-2008, 11:02 AM

Rhonda,

I met with our accountant about a month ago and you are correct about the 7%. The way it was explained to us is the first 7% doesn't count for anything but after that you can deduct.

When we first looked into IVF I didn't know about the 7% rule. I just assumed we would be able to deduct all of our costs. Unfortunately, we weren't able to deduct anything from our taxes.... I hope you have better luck than we did!!

wendy3223 · 04-19-2008, 05:16 PM

Hi there,
we were able to deduct over 22000 dollars from our taxable income last week. It definietly helped with our return, we got almost 8000 back. It just went under medical deductions. the first 7% didn't count, but after that, we were set! we did get pregnant in Dec. but we weren't billed for our donor cycle until January, so we will be able to deduct another 8500 this year.

LAGirl · 04-19-2008, 06:58 PM

Hi,
Our accountant took our adjusted gross income (AGI) X 7.5%. We could not write off that amount. The total medical expenses that we paid out of pocket (doesn't include FSA-health care acct) beyond the 7.5% is what we deducted. I had a lot of ivf costs, my cost for COBRA, travel and parking expenses incurred for medical reasons, drugs not covered by insurance, etc. Our out of pocket medical expenses totalled $31k. We had to pay some of this from our home equity account. The interest from that you can deduct along w/any interest you paid on a mortgage. So, that helped us get a nice big check this year. That check will help pay for a little over 1/3 of our total de cycle and expenses.

We also set up a flexible spending account for healthcare and elected the maximum of $5k that was offered by my husband's employer. I only worked p/t so I wasn't able to do that with my employer. The FSA lowers your taxable income by $5k (or whatever amount you elect). The employer takes your election amount out of your paycheck throughout the calendar year. You submit receipts (typically to a 3rd party) for reimbursement.

Good luck.

Jules

rjc0704 · 04-20-2008, 05:04 AM

Thanks everyone

I've learned alot about the tax deductions through your input and the publication from IRS. Additionally, we can write off acupuncture too!

I hope this link helps many others!

04-18-2008, 06:19 AM	#1 (permalink)
rjc0704 1000-4999 post queen of hearts Join Date: Jan 2008 Location: Madison, CT Posts: 1,037	Curious - IVF Tax Write off? Hi everyone. Hope all is well. I have a curious question. I've caught a few comments re: IVF being tax write off. Has anyone done it and have any info on it? Curious to know what part(s) and percentages can be write off. We are paying 1/2 cash 1/2 financing. Hoping for some relief. though we have great credit, the financing is very high. It would be nice to get a little break from the government!! Not trying to make a controversal stink here, but in CT they actually pay for abortions with our tax $$, yet they won't at least mandate insurance coverage for fertility treatments. I think that sticks to high Heaven!!! If anyone has any experience and advice regarding tax deductions- much appreciated! Baby dust for all! Rhonda

04-19-2008, 05:16 PM	#5 (permalink)
wendy3223 1000-4999 post queen of hearts Join Date: Feb 2007 Location: california Posts: 1,199	pg. ment. Hi there, we were able to deduct over 22000 dollars from our taxable income last week. It definietly helped with our return, we got almost 8000 back. It just went under medical deductions. the first 7% didn't count, but after that, we were set! we did get pregnant in Dec. but we weren't billed for our donor cycle until January, so we will be able to deduct another 8500 this year.

04-19-2008, 06:58 PM	#6 (permalink)
LAGirl 200-299 post 4 of hearts Join Date: May 2006 Location: Los Angeles Posts: 280	Hi, Our accountant took our adjusted gross income (AGI) X 7.5%. We could not write off that amount. The total medical expenses that we paid out of pocket (doesn't include FSA-health care acct) beyond the 7.5% is what we deducted. I had a lot of ivf costs, my cost for COBRA, travel and parking expenses incurred for medical reasons, drugs not covered by insurance, etc. Our out of pocket medical expenses totalled $31k. We had to pay some of this from our home equity account. The interest from that you can deduct along w/any interest you paid on a mortgage. So, that helped us get a nice big check this year. That check will help pay for a little over 1/3 of our total de cycle and expenses. We also set up a flexible spending account for healthcare and elected the maximum of $5k that was offered by my husband's employer. I only worked p/t so I wasn't able to do that with my employer. The FSA lowers your taxable income by $5k (or whatever amount you elect). The employer takes your election amount out of your paycheck throughout the calendar year. You submit receipts (typically to a 3rd party) for reimbursement. Good luck. Jules Last edited by LAGirl; 04-19-2008 at 07:00 PM.

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04-18-2008, 06:42 AM	#2 (permalink)
rjc0704 1000-4999 post queen of hearts Join Date: Jan 2008 Location: Madison, CT Posts: 1,037	ok - I learned a few key things about tax write off. The expense has to exceed 7% of income (I don't know if that's adjusted or gross) for any deduction. Also, the best way to maximize what you can get back is by setting up flexable spending acct through an employer because it lowers your income bracket/taxes. That's all I have for now.

04-18-2008, 09:03 AM	#3 (permalink)
yaoming Registered User Join Date: Mar 2006 Location: texas Posts: 25	check out irs.gov publication 502 fertility inhancements include all ivf costs...

04-18-2008, 11:02 AM	#4 (permalink)
bhk 200-299 post 4 of hearts Join Date: Feb 2008 Posts: 265	Rhonda, I met with our accountant about a month ago and you are correct about the 7%. The way it was explained to us is the first 7% doesn't count for anything but after that you can deduct. When we first looked into IVF I didn't know about the 7% rule. I just assumed we would be able to deduct all of our costs. Unfortunately, we weren't able to deduct anything from our taxes.... I hope you have better luck than we did!!

04-20-2008, 05:04 AM	#7 (permalink)
rjc0704 1000-4999 post queen of hearts Join Date: Jan 2008 Location: Madison, CT Posts: 1,037	Thanks everyone I've learned alot about the tax deductions through your input and the publication from IRS. Additionally, we can write off acupuncture too! I hope this link helps many others!