topic Can medical or all deductions get so high that the refund meter stops increasing? (I'm not using Standard Deduct; MFJ) in Deductions & credits

Can medical or all deductions get so high that the refund meter stops increasing? (I'm not using Standard Deduct; MFJ)

pro88 — Tue, 04 Jun 2019 19:21:08 GMT

I just now subtracted $8000 randomly from $42,000 med expenses, and taxes refunded amount didn't drop. So I guess there IS a ceiling, based on total income??

Ever since my refund dropped due to ACA subsidy I have to repay, it seems to have locked the refund at one small amount.

What's the deal???

It is possible to get back all of the amount withheld and...

xmasbaby0 — Tue, 04 Jun 2019 19:21:10 GMT

It is possible to get back all of the amount withheld and have no further refund if you have a lot of itemized deductions. It is also possible that your income could be high enough for itemized deductions to phase out.

Do you understand how the medical deduction works?The medical expense deduction has to meet a rather large threshold before it can affect your return. The amount of medical expenses that will count toward itemization for someone under 65 is the amount that is OVER 10% of your adjusted gross income; for someone 65 or older it would be the amount over 7.5% of your AGI.

You should only enter the amount that you paid in 2016—do not include any amounts that were covered by insurance or that are still outstanding. Of course, your medical expenses plus your other itemized deductions still have to exceed your standard deduction before you will see a difference in your tax due or refund.

To enter your medical expenses go to Federal>Deductions and Credits>Medical>Medical Expenses

You've been a great help to me several times. Just want...

pro88 — Tue, 04 Jun 2019 19:21:11 GMT

You've been a great help to me several times. Just want you to know how much you are appreciated. Many thanks!

Really? Thank you for saying that, and you are most welc...

xmasbaby0 — Tue, 04 Jun 2019 19:21:13 GMT

Really? Thank you for saying that, and you are most welcome.