I’ve worked with two different software programs this year, my Drake Software and proprietary software for a tax office I work at and both required you to take some special steps in order to take advantage of Ohio’s break on insurance policies & medical expenses paid for out of your pocket. With the advent of higher standard deductions and the fact that most of the time the states are something that many don’t pay too much attention to after toiling over the Federal return it can be an overlooked deduction. Don’t forget to make sure your getting all your deductions on state returns. When reviewing returns take a look at the medical deduction worksheet for Ohio and make sure your software has taken these expenses into account.
I’ve had a number of returns in the past few weeks that using these deductions have saved clients a couple of hundred bucks. If you’re a senior and paid money out of your pocket for supplemental health polices, paid deductibles out of your pocket, paid for dental work or eye glasses not covered by your insurance make sure to look at this valuable deduction. In most cases you must still get over the 7.5% of adjusted gross limitation but this isn’t real difficult for a senior on a fixed income who has already paid $1600+ for Medicare. If you got a 95a for the market place insurance you purchased and were not eligible for Medicare you’ll be surprised at how this deduction might help you as well.
Doing your taxes alone might save you a few bucks but not knowing all the ins and outs might cost you more than you are saving.
Recent Comments