Out of pocket expenses for prescriptions can be entered as medical expenses.
MEDICAL EXPENSES
The medical expense deduction has to meet a rather large threshold before it can affect your return. The amount of medical (including dental, vision, etc.) expenses that will count toward itemization is the amount that is OVER 7.5% of your adjusted gross income. You should only enter the amount that you paid in 2024—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
2024 STANDARD DEDUCTION AMOUNTS
SINGLE $14,600 (65 or older/legally blind + $1950)
MARRIED FILING SEPARATELY $14,600 (65 or older/legally blind + $1550)
MARRIED FILING JOINTLY $29,200 (65 or older/legally blind + $1550)
HEAD OF HOUSEHOLD $21,900 (65 or older/legally blind + $1950)
Yes, prescription medications are an eligible medical expense, whether you used insurance or not.
You can enter the expenses in TurboTax Online here:
Note that in order to claim medical expenses you must itemize deductions and only the expenses over 7.5% of your AGI are deductible.
Unreimbursed medical expenses, including prescription drugs, are deductible to the extent they exceed 7.5% of your adjusted gross income. These expenses are entered on Schedule A. If all you itemized deductions, are greater than your Standard Deduction, then you file using the Item Deductions method.
For most filers, the Standard Deduction offers the best benefit.