Can I deduct for a handicapped ramp update?

[xmasbaby0]

You can enter expenses for mobility or safety devices for yourself or a family member.   But unless you have enough medical expenses and itemized deductions to exceed your standard deduction, the cost of a ramp will not make any difference in your refund or tax due.

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 2023—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

2023 STANDARD DEDUCTION AMOUNTS

SINGLE $13,850  (65 or older/legally blind + $1850)

MARRIED FILING SEPARATELY $13,850  (65 or older/legally blind + $1500)

MARRIED FILING JOINTLY $27,700  (65+/legally blind) )  + $1500 per spouse

HEAD OF HOUSEHOLD  $20,800 (65 or older/blind)  + $1850)

[DoninGA]

You maybe be able to enter the ramp as a medical expense but you need to review the Capital Expenses section on IRS Form 502, Medical and Dental Expenses starting on page 5 - https://www.irs.gov/pub/irs-pdf/p502.pdf#page=5

[Vanessa A]

Maybe.  It depends on what you mean by ramp update.  If you needed to fix/repair or modify the ramp so it is safe for someone to use that medically needs to use it, then yes, it is deductible if you are itemizing your return instead of taking the standard deduction. It would be considered a medical expense.  Any increase in the value of the property would need to be deducted from the amount you are claiming as a deduction for the ramp.

Medical expenses are only deductible for the amount in excess of 7.5% of your AGI.  So, if your AGI is $100,000, only your medical expenses over $7,500 will count towards your Itemized Deductions.  Itemized expenses include mortgage interest, state and local taxes up to $10,000, medical expenses in excess of 7.5% of your AGI and casualty and losses in excess of 10% of you AGI with the first $100 not counting towards the loss.

In order to benefit from the Itemized deductions, they would need to be greater than your standard deduction.  The Standard Deduction rates are as follows:

• Married Filing Joint (MFJ)                $27,700
• Married Filing Separate (MFS)       $13,850
• Head of Household (HOH)             $20,800 
• Single                                                 $13,850                                

Blind and MFJ or MFS add $1,500

Single or HOH if blind add $1,850