Deductible Medical Expenses for Hugo in 2023: Understanding the

QUESTION REVIEWING 1 OF 1 ANSWER INCORRECT Hugo incurs the following expenses during 2023: O SL'MS . $4300 in copays at doctors and dentist offices . $650 in prescription copays O S" In an attempt to increase his deduction in the current year. Hugo . THE CORRECT ANSWER makes a $1,000 deposit on laser eye surgery to be performed 1n 2024. 3375 Although the prepayment is accepted, it is not required. 0 YOU WERE UNSURE AND INCORRECT $810 0 I DON'T KNOWYET Assuming that Hugo's ALI-l for 2023 is SST'UUO, what is his deduction for medical expenses? WHAT YOU NEED TO KNOW Medical expenses are deductible to the extent that they exceed 7.5% of the taxpayer's adjusted gross income. However, prepayments are deductible only if there is a legal obligation to pay or if the prepayment is a requirement for the receipt of medical care. Therefore, Hugo's medical deduction is {34.000 + $650) - (15% x $51000) — $3751