Home COVID Tests- Deductible Business Expense?
Posted on January 24, 2022
3 kids
2 schools
1 works at home mom
Our teachers and schools have been amazing!  They work so hard to keep everyone safe, the environment clean, and have open communication.
We’ve been very lucky because COVID has barely touched my kid’s schools but this COVID spike has hit us.
Three times in the past week I’ve had to test my kids to go back to school.
Which I NEED because this girl has a home office and 3 kids running around in the background of a client meeting does not jive!
Side note- did you catch my FB live about saving for taxes with the CHS Holistic Chamber of Commerce?  Two kids (one in a leotard) fighting in the background and our puppy literally eating my notes!
But I digress…The DHEC PCR tests are taking 10+ days to get results.  So I wanted to know!  Are home COVID tests a deductible business expense?
The answer?  Yes and No.
They are a deductible medical expense.  So if you take the Schedule A medical expense deduction, they are included there.  They are also reimbursable under flexible spending accounts (FSAs) and health savings accounts (HSAs).
If you don’t meet the threshold to itemize your deductions, then they don’t!
I’m not surprised.  It’s kind of like my kid’s tuition.  I can’t deduct their tuition on my P&L even though in order to work, I need them at school.  I can deduct a portion of tuition on my personal return but it’s not able to decrease my taxable income from my business.
As a reminder- PPE such as masks, hand sanitizer, and sanitizing wipes (for the primary purpose of preventing the spread of COVID) are also eligible medical expenses that can be paid under FSAs and HSAs.
I’m sending you prayers and good vibes that you either aren’t going through this too OR your home tests are negative!
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