Client has severe allergies - mold

[Margaret CPA in OH]

Client has severe allergies and had, at doc's recommendation, house inspected for mold. She had some in the basement area (whitish, not the deadly black) and had it removed. Deductible for medical? (yep, same client but she gave in on the Alexander) Also HEPA filters? I had to show her that OTC meds were not deductible just because her doctor recommended Aleve. I couldn't find anything on point about the mold, though.

[Lion EA]

Only to the extent that it does not increase the value of the house. Written doctor's orders. House appraisal before and after mold removal. If removal costs more than the increase in value of the house, then that excess is deductible as medical. Probably. Had some similar issues years ago with someone with MS that needed various accommodations made to her house upon doctor's orders. And, no, the appraisals are personal and not medical, if I remember correctly. So, the whole process might not be worth it. EXTENSION for that woman now, and tell her not to contact you until May!

[jklcpa]

I'm with Lion and will go one step further. If she can't write off for medical because she doesn't have written order from the doctor or because there is no excess over the increase in value, then I wouldn't even consider this an increase in basis. If a house has mold, it certainly decreases the value because no one wants that, but I don't see it as anything other an remedial expense like other repairs that homeowners make. Now, if she dug up all around her foundation and had sealer put on and other extensive work done to divert water away so that her basement remained dry and mold-free going foward, then that I'd add to basis.

[Margaret CPA in OH]

Thanks, Lion and Judy. I think it's out. Extension is also out as she always owes quite a bit and does a payment plan every single year. Hmmm, this may be the last year for her for me....Thinking, thinking....