Deductions & credits

Thank you for your timely response. So, when I calculate AGI = gross income - itemized deductions, would I want to include or exclude medical expenses from the itemized deductions? I ask b/c it sounds like I need to know the AGI before I can figure out how much of the medical expenses will be deductible. 

Ex: With this in mind, which one is correct:

A. Total gross income is $60,000 and deductions (includes everything but medical expenses) are $10,000, then AGI would be $50,000.

B. Total gross income is $60,000 and deductions (includes everything as well as total medical expenses) are $15,000, AGI would be $45,000. 

 

Thank you!