andrewbu
New Member

I entered $100,000 for medical expenses as a test to see what my limit is, and it made no difference to my tax owing. Is this a bug?

3% of my income is about $2000 and 3% of my wife is about $300. I put $100,000 of medical expenses on both of us and it didn't make even a 1 cent difference. I moved forward about 3 screens, and still nothing.

Credits and deductions

If your tax returns are connected (doing them together) the software is probably applying the medical deduction to the person with the lowest income.  If 3% is only $300, your wife is probably not paying any income tax anyway.  Medical deduction is a non-refundable tax credit.  If you are not paying tax, you get no refund.  Same thing for you.  If you are able to claim the spousal deduction, among others, you may not be paying any tax either, in which case, no change to the return.  It doesn't matter how much in medical you add.

If you show tax owing, and can make use of a medical deduction, you may have to start new unconnected returns so you can apply the medical where you want.  Be careful not to exceed deductions based on family income.

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andrewbu
New Member

Credits and deductions

Thanks! Okay, that's probably it.