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niel2k
Dec 15, 2009, 07:55 PM
I make 90,000 a year and my wife makes 50,000. Due to an accident, we have spent 6000 on me. I currently have an option to schedule a surgery such that I can spend another 4000 this year or next year. If we file separately, will I get the benefit of the medical expense deduction (7.5%)?
I thought anything more than (90000*0.075) i.e. 6750 will be tax deductible. But an rough estimate on turbo tax.com does not agree.
Please let me know as soon as possible.
Thanks.

AtlantaTaxExpert
Dec 16, 2009, 09:46 AM
Already answered via email; content below:

I assume you and your wife are resident aliens who will file Form 1040 wth Schedule A.

The 7.5% floor is but one barrier to meet. The other barrier is the requirement to exceed the standard deduction, which will be about $5,600 for Married Filing Separately. This is on top of the 7.5% floor, so the overall minimum itemized deduction floor should be about $12,350. That includes the medical deductions plus the other itemized deductions, which includes withheld state and local income taxes and mortgage interest.

Not sure WHY TurboTax shows a $13,500 floor; might be a glitch in the software.