The Waterbury Democrat., 1944-02-17
Your Federal Income Tax

married couple or "head of fam ily," or $1,250 in the case of other taxpayers. The taxpayer is required to furnish the name and address of each person to whom the payment for medical expenses was made and the amount and approximate date of the actual payment in each case.
 The method of determining the deduction may be illustrated by this example:
 MT. and Mrs. A file a joint return on Form 1040. Their net income, before figuring the medical deduc- tion is $3,000. During the year, they spent $500 for decial care of their family, but received $50 reimburse ment from health insurance pol icy. Their medical deduction is $200, figured as follows:
 OpenC ................ $5UU Less insurance received 15O Net expenditure .............. $350 Less 5 per cent of net income
 before medical deduction 6
 per cent of $3,000) ....m.... 150
 Balance deductible ......... $20O
 On Form 1040, the method of determining the medical and den- tai expense deduction must be shown in Schedule H on page and the result entered in item 16 on page 1. On short Form 1O4OA, no deduction should be entered, be- cause the tax table on this form al- ready allows the benefit of an aver age amount for such deductions.
 The expenses which may be con- sidered for this deduction are any actual payments made for the the diagnosis, cure, mitigation, treatment, or prevention of disease; also, any amount actually paid for disqualification, accident or health insurance, and for membership in an association furnishing coopera- tive or so-called free-choice medi- cal service, or group disqualification, and clinical care. These expenses may be deducted in the year act- ually paid, regardless of when the expense was incurred.
 Amounts paid for operations, or treatments affecting any portion of the body, including obstetrical ex- penses and expenses of X-ray or therapy treatments, are deemed to be for the purpose of affecting any structure or function of the body,'' and are therefore deductible.
 Allowable deductions will be con- fined strictly to expenses incurred primarily for the prevention or alleNation of physical or mental defect or illness" This will include payment of expenses for hospital nursing (including nurses board where paid by the taxpayer), and medical, laboratory, surgical, dental and other diagnostic and healing services. It will also include the cost of drugs, and medical and den- tai supplies dncluding artificial teeth or artificial limbS), and oi ambulance hire and travel ''primar. fly for and essential to the rendi. ton of the medical services or tc the prevention or alleviation, of q physical or mental defect or ill., ness" It will not include funeral and burial expenses.
 In general, all medical and den. tai expenses actually paid or reim. bursed during the same year mus, be offset against each other in fiR. urtng the medical deduction fo1 that year.
 However, if a medical expense de. duction is taken in one year. and reimbursement for that specifit expense is received in a later year then the reimbursement in the latel year must be added to the taxpav. CTS income in that year, instead Q, being used in the medical expense calculation.