Long-Term Care Insurance Deductions Will Increase in 2019

Long term care costThe Internal Revenue Service (IRS) is increasing the amount taxpayers can deduct from their 2019 income as a result of buying long-term care insurance.

Premiums for “qualified” long-term care insurance policies are tax deductible to the extent that they exceed 10 percent of the insured's adjusted gross income.  (7.5% for 2018). These premiums are deductible for the taxpayer, his or her spouse and other dependents.

Following are the deductibility limits for 2019:

Age

Maximum Deduction for the Year

< 40

$420

40-50

$790

50-60

$1580

60-70

$4220

70+

$5270

 

For more information on long-term care planning, please contact Stouffer Legal at 443-470-3599 in the Greater Baltimore area.