Kent Anderson
Tax Attorneys Eugene OR
Introduction:
For individuals with visual impairments, navigating the complexities of tax planning can be daunting. However, there are specific tax provisions designed to provide assistance and support to those with visual challenges. In this article, we will explore essential tax tips tailored to individuals with visual impairments.
Defining Visual Impairment for Tax Purposes:
The Internal Revenue Service (IRS) recognizes the unique needs of visually impaired individuals and offers tax benefits based on specific criteria. Taxpayers who have a field of vision at or below 20 degrees, vision of 20/200 or less in their best eye (even with corrective glasses), or are completely blind meet the legal definition of being visually impaired for tax purposes. These individuals are eligible for certain deductions and credits.
Tax Attorneys Eugene OR
Enhanced Standard Tax Deduction for Visually Impaired Taxpayers:
Individuals with visual impairment are entitled to claim enhanced deductions on Box 12 of the 1040 tax-return form. This results in a larger tax break, allowing them to subtract an increased standard tax deduction from their adjusted gross income.
Additionally, visually impaired taxpayers aged over 65 can benefit further from additional tax advantages. The enhanced deduction also extends to married filers when one or both spouses meet the visual impairment criteria.
Medical Expense Deductions for Visual Impairment:
Tax laws allow deductions for medical expenses related to visual impairment or blindness. To qualify for itemized deductions, the total medical expenses, including disability-related items, must exceed 7.5% of the adjusted gross income.
Deductible medical expenses may include transportation to and from medical appointments, prescription costs, insurance premiums, medical tests, Braille magazines, Braille printers, eyeglasses, eye exams, eye surgery, guide dogs, home modifications, Braille instruction, nursing services, and accessible phones.
Earned Income Tax Credit (EITC):
Visually impaired individuals, even if their income is below the filing threshold, may still qualify for the Earned Income Tax Credit (EITC). The EITC can lead to a significant refund based on income, filing status, and the number of qualifying dependents.
Impairment-Related Work Expenses:
Visually impaired individuals, whether employed or self-employed, may incur special equipment or accommodation expenses related to their work. Impairment-related work expenses can be deducted on the Schedule A form, regardless of meeting the dollar amount requirements or the 2018 tax law changes.
These expenses include computer attachments for Braille display and typing, electronic visual aids, high-speed internet connection, home modifications, and software providing synthetic voice description.
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Credit for the Elderly and the Disabled:
The IRS offers two ways to qualify for the Credit for the Elderly and the Disabled:
- Be at least 65 years old.
- Have a disability that forced you to retire before your employer’s mandatory retirement age, typically at age 65.
To qualify as disabled, individuals must also have taxable disability income, such as Social Security disability benefits. This credit helps reduce tax liability to the IRS but is nonrefundable, meaning it won’t provide a refund if it lowers tax liability to zero.
Conclusion:
By following these tax-saving tips, individuals with visual impairments can maximize available deductions and credits, potentially saving money when filing their taxes. Seeking guidance from a tax professional is advisable to ensure compliance with tax regulations and to optimize the available benefits.