Article Date:
January 2015


Word Count:
1386

 

 

How to Deduct Your Swimming Pool and Other Home Improvements as Medical Expenses—All Legal If You Do It Right


Estimated Tax Tip Savings: A swimming pool you install for medical reasons could increase your tax deductions by $12,000 or more, giving you a tax savings of $3,000 or more depending on your tax bracket. Other such home improvements can be similarly deducted.

 

In middle school, a note from your doctor was the perfect thing to get you out of gym class. Now that doctor’s note might get you a tax-deductible swimming pool or other home improvements that allow you to increase your deductions. Here’s how it works:

 

If you buy a pool for medical reasons, tax law gives you a deduction for the cost of installation and for operating expenses, even though technically the pool is a capital improvement of your home.

 

This deduction applies to all equipment that you use in your home, workplace, or vehicle for medical purposes, including

 

·

ergonomic chairs;

·

elevators;

·

lift equipment for vehicles;

·

accessibility ramps; and

·

artificial limbs.

 

But unless you take this deduction the right way, you might not get the tax benefit you want. As you read this article, you’ll see why you, as a small-business owner, are in the perfect position to ... Log in to view full article.

Log in to view full article
Already a subscriber?
 
Email Address

 
Password

Log In Send me my password

You'll be able to read the full article and get instant access to the last few issues of the Tax Reduction Letter

Not yet a subscriber?
 
with a money-back guarantee