Everyone wants to find a great way to save on their taxes at the end of the year. Many people flip through the rules and regulations regarding what tax deductions they can claim at the end of the year. This often provides them with a few extra dollars in their pocket. When it comes to providing a loved one with home care services, that extra money might be enough to help keep your family member at home for longer periods of time.
If you need home care services, can you use them as a tax deduction at the end of the year? Like most things, it really depends on who used the services and which services you paid for. You can use this quick guide to help determine whether your home care services would fall into the category of being tax deductible.
Who claims home care services?
Not everyone is eligible to claim the home care services they paid for on their taxes at the end of the year. In general, you can only list medical expenses that were for you, your spouse, or a dependent. Dependents are the people who primarily depended on you for your support, including financial help or living arrangements. The list of eligible people who could qualify as your dependents include:
- Your or your spouse’s child
- Your or your spouse’s grandchild
- Your or your spouse’s parents
- Your or your spouse’s grandparents, siblings, aunts, uncles, or other family members who lived in the country
Which services can you claim?
If your loved one can still remain at home with help from a part-time attendant, you can claim the salary or wages of that attendant as a tax deduction. The list of services you can provide in-home for a tax deduction is rather extensive. However, most people simply want to know if they can hire a nurse to tend to their loved one’s medical needs several times each week. The good news is you can hire a registered nurse, practical nurse, certified health care aide, or personal support worker and still make use of this tax deduction.
Furthermore, you can also claim expenses related to the salaries and wages of any of these other services:
- Food preparation (but not the food itself)
- Housekeeping for the home
- Laundry services
- Activities
- Salon services
- Transportation
There is one more stipulation when it comes to hiring attendant care services in-home if you want to qualify for the tax deduction. You can only claim this deduction during a time where the expenses were medically necessary. This requires proof that you are eligible for the disability tax credit. Alternatively, you could obtain written certification from a medical practitioner that states these services are a necessity.
With these tax deductions, you can rest easy about the money you’re saving on better quality care for your family. Leave your loved one in the hands of capable, caring, and practiced home care professionals. Partners for Home is ready to show you how much better life can be with in-home services for your loved one.
