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amanda_dahir
New Member

Can I write off difference for in-network providers?

I bill insurance companies my usual rate (i.e. $100) and the in-network provider pays the negotiated rate (i.e. $75). Can I write off the difference on my taxes (e.g. $25)?
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Accepted Solutions
rjs
Level 15
Level 15

Can I write off difference for in-network providers?

The difference is already written off because you report only $75 of income instead of $100. Therefore you are not paying tax on the $25 that you did not receive. It's already deducted from your taxable income because it was never reported as income. You can't deduct it again.

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2 Replies
rjs
Level 15
Level 15

Can I write off difference for in-network providers?

The difference is already written off because you report only $75 of income instead of $100. Therefore you are not paying tax on the $25 that you did not receive. It's already deducted from your taxable income because it was never reported as income. You can't deduct it again.

VolvoGirl
Level 15

Can I write off difference for in-network providers?

Unless you first reported the full amount billed as income on schedule C line 1.
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