Individuals diagnosed with Celiac disease may be able to receive tax deductions for expenses associated with gluten-free foods and products.
However, there are a few catches to obtaining them.
Here are a few tips to help you through all the procedures and paperwork:
Step 1: Get A Doctor’s Note Request an official, written Celiac or food allergy diagnosis from your doctor.
Submit this documentation with your other completed forms (see Step 4). Make sure to keep a copy for your records!
Step 2: Save Your Receipts Keep receipts of all gluten-free purchases from grocery stores, bakeries and anywhere else you buy gluten-free items.
Hint: Every time you get a receipt for a purchase highlight the items that are tax deductible and file them away in a separate file.
Step 3: Break Out the Calculator List the prices of gluten-free foods compared to those of regular foods. The difference between those prices is tax-deductible. For example, if a pound of wheat flour costs $0.89 and a pound of rice flour costs $3.25, then you may deduct $2.36 for each pound of rice flour purchased.
Products like xanthan gum and sorghum flour are completely tax-deductible as they have no “regular” counterpart, but are purchased to meet your dietary needs.
Shipping costs for online purchases are also permissible deductions.
Hint: One suggestion I’ve seen is to create a spreadsheet with the regular food prices in one column and the gluten free ones in another and then add in your items as you purchase them.
Step 4: File Your Claim Fill out form 1040 schedule A for medical deductions.
- IRS Publication 502
- Revenue Rulings: 55-261, 76-80, 2002-19 and 67 TC 481
- Cohen 38 TC 387
- Flemming TC MEMO 1980 583
- Van Kalb TC MEMO 1978 366
Thank you to Celiac Central for this information.
It’s worth noting: filing for medical deductions must meet certain requirements, such as be above 7.5% of your income.
You may want to be sure that it’s worth all the work before you put time into doing this.
Let’s say you earn $40,000 a year, 7.5% would be $3,000. You would have to spend more than that amount on medical expenses to make this worth doing.
Hope this is helpful.