Are my premiums tax deductible?

Yes, if you purchase a “Tax Qualified Long Term Care Insurance Policy”.

Individuals can deduct a limited amount of the annual premium based on age under health expenses on Schedule A of the federal tax return. LTCi premiums also qualify as a HSA (Health Savings Account) approved expense.

Business owners can deduct premiums as business expense. The amount changes according to the type of business (Partnership, Sole-Proprietor, C-Corp, etc.).

To get your free copy of the Tax Summary for Tax Qualified Long-Term Care Insurance click here.

LTCi is treated as accident and health insurance for individual taxpayers who itemize deductions.
The 2016 Deduction is limited to the lesser of the actual premium paid or eligible LTCi premium amount.

Eligible LTCi premium in  2016:  

Attained Age in tax year   Limitation on Premiums
Age 40 or Less $  390
Age 41-50 $  730
Age 50-60 $1,460
Age 61-70 $3,900
Age 71 and older $4,870

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