Tax Tips For People With Hearing Loss

It’s tax time again … and who doesn’t like to get a tax break? If you have hearing loss, you may qualify for special tax deductions for hearing-care-related expenses that can help reduce your overall tax burden – and keep more money in your pocket.

Enlisting the help of an accountant is always a good idea, but here’s some general information about the IRS tax deductions that everyone with hearing loss should be aware of.

How Much Can I Claim?

If you itemize deductions instead of using the standard deduction, you can claim uninsured medical costs, including those pertaining to hearing health care, as a tax-deductible expense.

However, your overall uninsured medical expenses must collectively total more than 7.5% of your adjusted gross income (AGI) for you to claim them as an itemized deduction. For example, if your AGI is $40,000, you may deduct the cost of any qualifying medical expenses over $3,000. Since hearing devices can cost thousands of dollars and often are not covered by insurance, it’s easy to see how medical expenses can add up fast.

What Expenses Can I Claim as a Deduction?

Uninsured hearing health costs you can claim as a medical expense include payments for:

·        Hearing aids, batteries, repairs and maintenance

·        Telephone equipment, including captioned phones, phones with special ringers and teleprinters, as well as their repair costs

·        TVs and related accessories that provide captioning and amplify sound, as well as repair costs

·        Improvements to your home for special burglar alarms, smoke detectors and doorbells

·        Assistive devices such as TV streamers, remote mics, bed shakers, and sound machines for tinnitus relief

·        Transportation to and from hearing health appointments

·        Hearing Guide dog expenses, such as grooming, food costs and veterinary costs

Remember to keep the receipts for all related expenses—you’ll need them handy when it’s time to claim them on your taxes.

Are Hearing Device Donations Tax Deductible?

The answer is … Yes!  If you itemize deductions on your tax return, you can claim a deduction for any hearing device donations.

Only donations made during the previous tax year are eligible for the tax benefit, and you may only deduct the fair market value. To determine the fair market value, use a five-year, straight-line depreciation formula:

1. Divide the original price of the devices by five to determine the annual depreciation.
2. Multiply the annual depreciation by the age of the devices.
3. Subtract that figure from the original price to determine the remaining value.

Help Your Hearing and Your Budget

Hearing better is priceless—it can enhance your communication skills, improve your relationships and allow you to rediscover your zest for life. If you or someone you love has been struggling to hear, don’t put off getting help for any reason—financial or otherwise. H.E.A.R.S. Audiology offers deep discounts on several premium tech hearing aid models, and we will work with you to find the best solution that fits within your budget. For those with no insurance coverage for hearing aids, our discounted pricing combined with the permitted tax deductions can make your hearing health care costs more manageable. Schedule a hearing evaluation today and begin your journey to better hearing.