Pharmacy medication

[SAF01]

How much from my pharmaceutical expense can I deduct from my 2022 taxes? I can confirm expenses from CVS pharmacy.

[DoninGA]

Prescription medication that you paid for with out of pocket funds and were not reimbursed can be deducted as a medical expense on Schedule A.  However, only the amount of your medical expenses that is greater than 7.5% of your adjusted gross income can be entered as a medical deduction.

Then the total all itemized deductions on Schedule A must be greater than the standard deduction for your filing status to have any tax benefit.

Standard deductions for 2022

• Single - $12,950 add $1,750 if age 65 or older
• Married Filing Separately - $12,950 add $1,400 if age 65 or older
• Married Filing Jointly - $25,900 add $1,400 for each spouse age 65 or older
• Head of Household - $19,400 add $1,750 if age 65 or older

[JandKit]

Hi  SAF01

Medical expenses are subject to 7.5% of your adjusted gross income(AGI). In addition, this is an itemized deduction and cannot be used until a certain threshhold is met. For instance,

If your income is $50,000 and you are single, You would first have to reduce your medical expenses by $3,750.

Taking this amount plus other deductions such as sales tax, real tax, mortgage interest,, charity, etc

The remainder can be used if you are able to exceed the standard deduction:

Standard Deduction

Single  $12,950

Head of Household $19,400

Married filing joint  $25,900

As you can see, comparison of the itemized deduction, which Turbo Tax will calculate for you, and the standard deduction must be considered to decide which dedduction is best for you.