The Internal Revenue Code states that the medical expense gift tax exclusion applies to the transfer payments for “the diagnosis, cure, mitigation, treatment or prevention of disease, or for the purpose of affecting any structure or function of the body,” or “transportation primary for and essential to medical care.” For example, hospital bills, doctor’s visits, medication, and nursing home care are all expenses that qualify for the exclusion. Some long-term care services, health insurance payments, and travel to receive the care also qualify for the exemption.
Attorney Fred Jacobs is Florida Board Certified in Tax Law. Call Bach & Jacobs at (941) 906-1231 to schedule an appointment with Fred if you have questions about how the gift and estate tax laws affect you and your family.
