The IRS said Friday that personal protective equipment, such as masks, hand sanitizer, and sanitary wipes used to prevent COVID-19, are deductible medical expenses on tax returns.
According to the IRS announcement, PPE expenses related to COVID-19 for the taxpayer, their spouse, or their dependents that are not otherwise compensated by insurance, are deductible if the taxpayer’s total medical expenses exceed 7.5 percent of adjusted gross income.
The IRS also said PPE expenses related to COVID-19 are also eligible to be paid or reimbursed under health flexible spending arrangements (health FSAs), Archer medical savings accounts (Archer MSAs), health reimbursement arrangements (HRAs), or health savings accounts (HSAs).
However, if PPE expenses are reimbursed under a health FSA, Archer MSA, HRA, HSA or any other health plan, they are not also deductible as medical expenses on tax returns. To read the entire IRS announcement, go here.
For more information about what is deductible, go to the IRS website and view Can I Deduct My Medical and Dental Expenses? and Publication 502, Medical and Dental Expenses.
