Earlier this month, Congressman Kenny Marchant (TX-24) and Congresswoman Katie Porter (CA-45) introduced H.R.2073, bipartisan legislation to permanently lower the threshold for deducting medical expenses from federal taxes to 7.5% of income.
“You never know when an unexpected medical expense may come along, which is why the medical expense tax deduction is such a vital provision in our tax code,” said Congressman Marchant. “This legislation takes the commonsense step of permanently lowering the threshold for medical expensing, giving North Texas families more peace of mind as they make their healthcare decisions.”
“I hear it all the time from folks in my district—they’re worried about the skyrocketing cost of healthcare for their families,” Congresswoman Porter said. “My legislation will give Orange County families some relief by offsetting the cost of high out-of-pocket expenses, as Congress works to advance other proposals to bring down prices for prescription drugs and increase access to affordable, high-quality health insurance.”
Beginning in January 2019, Americans with high health care costs can only deduct their medical expenses from their taxes if these expenses exceed 10% of their income. In 2018, the income threshold for deductions was set at 7.5% of income. Congressman Marchant’s legislation would permanently extend the 7.5% income threshold for the medical tax deduction, preventing Americans with high medical costs from seeing their tax bill rise next year.