Client sole purpose of living in a nursing home is that she has dementia. According to the Tax Book, page 4-6 that this would be fully deductible. I'm needing a little assurance on my interpretation. Go ahead? Deduct?
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Last edited by zeros; 03-25-2013, 06:21 PM. -
If she has been diagnosed with dementia, then all costs of the nursing home would be deductible because it's a qualifying cognitive impairment. You might have to filter out personal care items such as hairstyling, non-medical nail care, and a few other minor things, but all room & board, nursing care, etc can be counted as medical deduction."The only function of economic forecasting is to make astrology look respectful" - John Kenneth Galbraith -
Agree with JohnH
Reg 1.213-1(e)(1)(v)(a) Where an individual is in an institution because his condition is such that the availability of medical care (as defined in subdivisions (i) and (ii) of this subparagraph) in such institution is a principal reason for his presence there, and meals and lodging are furnished as a necessary incident to such care, the entire cost of medical care and meals and lodging at the institution, which are furnished while the individual requires continual medical care, shall constitute an expense for medical care. For example, medical care includes the entire cost of institutional care for a person who is mentally ill and unsafe when left alone.EAnOKComment
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