Our doctor wrote a Autism therapy prescription for a pool for my son. We built a heated pool with patio & enclosure. Can I write off the pool 2016 construction costs?

[cbecher01]

Does that mean we should get a formal appraisal to compare to a past one?

[MargaretL]

You can, just not the full amount and patio costs and other improvements not specifically required by doctor's note are not deductible either. The amount you can deduct depends on whether the cost increased the value of the house. Please see below for details:

If the cost of the improvement does not increase the value of your home, the entire cost of the improvement is entered as your medical expense. (Installing railings, support bars or other modifications to bathrooms generally does not increase the value of your property)

IF the cost of the improvement does increase the value of your home, the difference between your cost of the improvement and increase in the value is included as a medical expense. 

To enter Medical expenses in Turbo Tax, please follow the steps below:

1. Federal Taxes tab
2. Deductions and Credits
3. Scroll down to Medical
4. Select Medical Expenses and continue via interview.  Such improvements can be listed as other medical expenses. 

[cbecher01]

Does that mean we should get a formal appraisal to compare to a past one?

[MargaretL]

No, you are not required to have a formal appraisal. A market analysis from a real estate agent will suffice.  Just be sure to deduct only amounts strictly associated with the pool, not the patio or additional improvements... they are not deductible.