Question

darnell, age 50, is employed as an actuary. for calendar year 2022, he had agi of $130,000 and paid the following medical expenses: medical insurance premiums $5,300 doctor and dentist bills for derrick and jane (darnell's parents) 7,900 doctor and dentist bills for darnell 5,100 prescribed medicines for darnell 830 nonprescribed insulin for darnell 960 derrick and jane would qualify as darnell's dependents except that they file a joint return. darnell's medical insurance policy does not cover them. darnell filed a claim for $4,800 of his own expenses with his insurance company in november 2022 and received the reimbursement in january 2023. what is darnell's maximum allowable medical expense deduction for 2022?

Answer 1

Darnell's maximum allowable medical expense deduction for 2022 is $7,390.

Step-by-step explanation:

To determine Darnell's maximum allowable medical expense deduction for 2022, we need to calculate his deductible medical expenses. The deductible medical expenses include medical insurance premiums, doctor and dentist bills, prescribed medicines, and nonprescribed insulin. However, we need to deduct any reimbursement from insurance.

In Darnell's case, his deductible medical expenses would be calculated as follows:

1. Medical insurance premiums: $5,300
2. Doctor and dentist bills for Darnell: $5,100
3. Prescribed medicines for Darnell: $830
4. Nonprescribed insulin for Darnell: $960

Total deductible medical expenses: $12,190

Since Darnell received a reimbursement of $4,800 in January 2023, we need to subtract that amount from the total deductible medical expenses. Therefore, Darnell's maximum allowable medical expense deduction for 2022 would be $12,190 - $4,800 = $7,390.