Yes, you can, and most likely in its entirety. The tax code allows you to deduct, as medical
expenses when you itemize deductions, amounts that you’ve paid for special
equipment installed in your home if its main purpose was medical care for you,
your spouse, or your dependent. Only
reasonable costs that accommodate your home to a disabled condition are
considered medical care.
As to any potential increased value of your home, certain
improvements to accommodate a home to a disabled condition don't normally increase
the value of your home, and the cost can be included in full as medical
expenses. This improvement is most
likely fully deductible.
For more information, see the bulleted items in “Capital
Expenses” on page 6 of IRS
Publication 502, Medical and Dental Expenses.
