The Internal Revenue Service (IRS) released proposed regulations regarding the treatment of direct primary care arrangements, health care sharing ministries, and specific government-sponsored health care programs. Here are some of the highlights outlined by our CPA’s in Raleigh.
Under section 213 of the Internal Revenue Code individuals are allowed to take an itemized deduction for medical care expenses. This includes insurance for medical care, to the extent the expenses exceed 7.5% of adjusted gross income. Expenditures for health care sharing ministry memberships and direct primary care arrangements are the amounts paid for health care, and may be deductible medical expenses under Section 213(a) in the tax Code.
The IRS also outlines that the payments made for direct primary care arrangements and health care sharing ministries can be reimbursed by a health reimbursement arrangement (HRA) that an employer provides. However, the proposed regulations state that individuals covered by a direct primary arrangement are generally ineligible to pay into a health savings account (HSA).
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Our CPA’s in Raleigh understand the complexities of filing taxes, and the updated rules the IRS propose and instill. We are experienced with individual complex tax returns, as well as business taxes. If you need help with your taxes speak to one of our CPA’s today at (919) 872-0866, or fill out the contact form below.