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Is nursing home entrance fee a medical deduction

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Level 5

I seem to recall up to 125K, but couldn't find it in IRS Pub.

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Level 8
Level 8

I'd vote yes.... Pub 502 will have the specifics but this may help as well. 

https://www.irs.gov/faqs/itemized-deductions-standard-deduction/medical-nursing-home-special-care-ex...

 

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Level 2

Take a look at the buy-in contract itself.  If they are buying into a continuing care retirement community (also called CCRC), then a portion of the buy-in is deductible - the percentage is based on the percentage the COMMUNITY uses for deductible medical expenses.

If they are buying into a Skilled Nursing Facility, then the Purpose of the community is solely to provide medically deductible services, and the buy-in is 100% deductible.

This article is not authoritative, but readable and refers you to the right places (Baker court case and Revenue Ruling 93-72)

https://www.marketwatch.com/story/you-can-deduct-these-retirement-community-fees-as-medical-expenses...