Legislation To Provide A Tax Deduction For Medical Expenses Clears House Health

Committee Unanimously
Santa Fe, NM Legislation to create an income tax deduction for a portion of unreimbursed
medical expenses cleared the House Health Committee on Thursday by a unanimous vote. Rep.
Terry McMillan is the sponsor of the legislation.
This legislation provides relief from the rising price of medical care, McMillan said. It is
important that we also provide assistance to those of lower incomes; they often fall victim to
higher medical costs.
Under the legislation, several medical expenses would be covered, including prescription drugs.
The deduction would be applicable if the medical expenses are not reimbursed or compensated
by insurance, or have not been included as part of the taxpayers itemized deductions.
The deductions are determined based on incomes for individuals or married couples filing
separately: less than $15,000 a year allows for a 25 percent reduction, $15,000 to $30,000 allows
for a 15 percent reduction, and income over $30,000 allows for a 10 percent reduction in medical
costs.
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