Some couples lovingly call their baby their “little tax deduction”. While many baby expenses are tax deductible, is baby formula?
If you are filing your taxes last minute, you may be looking at all kinds of deductions, especially if you had a baby in the past year. Be aware that tax deduction laws are different per country, so please always check with your local tax advisor before applying these deductions.
What Baby Items are Tax Deductible?
- Qualified medical expenses exceeding 10 percent of your adjusted gross income (C-sections count)- Doctor's visits paid out of pocket and not reimbursed by insurance plus mileage
- Blood work, glucose tolerance tests, and any tests ordered by your doctor for medical reasons
- Ultrasounds for medical, prenatal care paid for out-of-pocket (private ultrasounds including 4-D do not qualify)
- In-home nursing care
- Childbirth classes paid out-of-pocket
- Breastfeeding supplies including breast pumps, bottles, and pads
What Baby Items are NOT Tax Deductible?
- Maternity clothes- Household assistance before and after birth (housekeeper, babysitter for older children, personal chef, etc.)
- Diapers, wipes, baby shampoo, and other personal supplies
- Infant formula
Why is Infant Formula not Tax Deductible?
Some people will argue that infant formula should be tax deductible if breastfeeding supplies are. Both of them support your child's nutrition, and many mothers will opt to buy infant formula because they are not physically able to nurse. Without breastfeeding, their child would likely starve without formula. There is a difference in the deduction, however. Infant formula is food, and food is not a tax deduction whether you are a few days old or many years old. The tax deduction is for the medical supplies to assist in lactation, not the milk that comes from using these supplies.
