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Level 2
posted Feb 21, 2021 2:36:51 PM

IRA total distribution

My husband and I had to withdrawal all of his IRA balance after my husbands dementia became worse following emergency GI surgery. I needed the money from the IRA to pay for the expensive monthly cost of the long term memory care and hospice care facilities. Isn't there a tax break for this? 

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1 Replies
Expert Alumni
Feb 21, 2021 2:57:41 PM

There are exceptions to the early withdrawal penalty, but if you husband is 59 1/2 or older, that penalty does not apply.  There is no tax break for withdrawing IRA funds to pay for health care, but there are deductions for health care expenses.  In order to take the deduction you must itemize, and you can only deduct the amount of expenses that exceed 7.5% of your Adjusted Gross Income (AGI).