@flaniganm wrote:
what does the term "personal" mean? This is for a 91 year old who needs the assisted living facility due to her age and Parkinsons - related physical limitations. Rent for the AL facility is 2 - 3 times higher than a comparable apartment in the same area.
If a person is in assisted living, only nursing services are deductible. Nursing services don't have to be provided by a nurse, but they have to be the kind of services that nurses perform (like dispensing medication, assistance with dressing, eating, toileting, and so on). The facility would have to provide a breakdown for you. Costs for room and board, laundry, and other things are not deductible. The question is not, "what is a personal expense", the question is, "what is a nursing expense?"
However, you can deduct the entire cost if you meet three tests
- the patient is permanently disabled, or has a cognitive impairment and would be a danger to themselves or others if left alone (as certified by a doctor)
- the patient required assistance with two or more activities of daily living (ADLs are eating, dressing, bathing, toileting, transferring, and managing continence)
- care is provided according to a written care plan that was prepared by an appropriate professional and reviewed and updated at least once a year.
Even if the patient meets the first two tests, only nursing services are deductible unless you get that written care plan. The facility should have a doctor or social worker who can do this for you.
