I was diagnosed a few months back with a leaky heart valve that I need repaired this condition also caused damage to kidneys requiring dialysis. Does this factor into it?

[Filo89]

Into my taxes I mean. Cuz I had to miss a ton of work, still have to actually as well as pay a 5,000 hospital stay bill, ongoing dialysis, the heart surgery which will require more time taken off then ongoing dialysis unleee fixing my heart repairs my kidneys.

[VolvoGirl]

Yes Medical is deductible if you have enough.  Or are you asking about something else like a penalty for taking an early IRA or 401K withdrawal?

You can only deduct the amount of unreimbursed Medical Expenses you actually paid over 7.5% of your AGI. And then all your itemized deductions have to be more than the standard deduction to get any benefit (so you would only be getting the benefit of the amount that puts you over the standard deduction). And since the Standard Deduction is increased more people will not need to Itemize.

For 2021 the standard deduction amounts are:

Single 12,550 + 1,700 for 65 and over or blind (14,250)

HOH 18,800 + 1,700 for 65 and over or blind (20,500)

Joint 25,100 + 1,350 for each 65 and over or blind (26,450/27,800)

Married filing Separate 12,550 + 1,350 for 65 and over or blind (13,900)

[Mike9241]

the medical bills you pay net of any insurance qualify for a deduction on schedule A. the total is reduced by 7.5% of your adjusted gross income.  for the remainder to be of any benefit, your itemized deductions must exceed your standard deduction which is $12,950 in 2022 (single).  for federal purposes, there are no special credits or deductions 

[Opus 17]

You pay income tax on your taxable income.  If you have less taxable income (because you are out of work or on reduced pay sick leave) you pay less tax.  There is no special tax consideration for the fact that you were out of work for medical reasons.

Medical expenses are allowable as an itemized deduction, and may decrease your tax depending on the amount of your medical expenses and other itemized deductions (like donations to charity, state income taxes, and mortgage interest).  You can include your out of pocket costs as deductible expenses when you pay the provider** -- don't include costs that were reimbursed by insurance or a tax-free medical savings account.

**You deduct medical expenses when you pay the provider.  If you pay $5000 to the hospital using a credit card and pay the credit card off $100 per month, you can deduct the $5000 payment when you make it.  If you make a deal to pay the hospital $100 per month, you can only deduct the payments you actually made during each tax year.

[NCperson]

@Filo89 - let me summarize the questions you have to ask yourself.

1) do I have enough deductions that I can itemize? if I am single that means my 2022 deductions exceed $12,950 (I am assuming you are under 65)

2) are the medical expenses unreimbursed by insurance.  For example, my understanding is that kidney dialysis is 100% covered by Medicare, so none of it is deductible as you are not actually paying for it so there is nothing unreimbursed.  

3) did I ACTUALLY PAY those unreimbursed medical expenses in 2022? if I didn't pay them, they are not deductible in any event.  

4) How much of the medical expenses I paid exceed 7.5% of my income (Line 11 of Form 1040)? Only the medical expenses determined in #3 that exceed 7.5% of your income can be deducted as part of the itemized deduction calculation.  

hope that helps....