Pregnancy-related expenses on your tax return

Expectant parents face a variety of costs during pregnancy. However, personal expenses are not taken into account on tax returns. Of course, pregnancy has nothing to do with income and is therefore considered a personal expense. Nevertheless, there are some expenses incurred during pregnancy that are tax-deductible. Unfortunately, many expectant parents are unaware of these options. As tax advisors in Düsseldorf

and Oberhausen, we have therefore compiled the most important information on pregnancy costs and taxes in this article.

Which pregnancy-related expenses can be deducted?

Costs associated with pregnancy cannot automatically be included in your tax return. Realistically speaking, it must even be said that the majority of these costs are not tax-deductible. Medically necessary expenses often arise during pregnancy. And this is precisely where things get interesting. Medical expenses that you have to pay yourself can generally be deducted as so-called extraordinary expenses. Pregnancy is no exception here. We have listed the most common tax-deductible costs below:

• Course fees for medically prescribed prenatal exercise classes or childbirth preparation classes
• Invoices (paid privately) for medications and examinations, artificial insemination, medically prescribed baths, massages, and exercise classes, as well as the midwife, the delivering physician, and the hospital.
• Travel expenses to get to the aforementioned classes or treatments. The travel expense allowance is used for this.

For all these expenses, it is important to note that, of course, only those costs that were not covered by health insurance may be claimed. If a portion is covered by health insurance, the self-paid portion may be deducted. It is also important to note that there must be a medical necessity and a doctor’s prescription. If the appropriate documentation is missing, the entry in the tax return is not valid.

Which pregnancy-related expenses cannot be deducted?

Simply put, any pregnancy-related expenses not mentioned above cannot be deducted. When it comes to costs for baby clothes or essential baby gear, these are considered personal expenses from a tax perspective and cannot be included in your tax return. Of course, there are always special cases and exceptions that we may not have listed here. If you’re unsure, it’s always a good idea to consult a qualified tax advisor to review the legal situation.

Caution Regarding Extraordinary Expenses

As mentioned earlier, pregnancy-related expenses can be claimed as extraordinary expenses. It is important to note that extraordinary expenses only result in tax benefits once the reasonable out-of-pocket limit has been exceeded. The reasonable out-of-pocket expense is an individual threshold that must be exceeded to qualify for a tax benefit. If your pregnancy-related expenses are below the reasonable out-of-pocket expense threshold, you can still claim them, but they will not result in a tax benefit. It is therefore important to consult a tax advisor to determine whether it is worthwhile to include pregnancy-related expenses on your tax return.

Tax Consulting in Düsseldorf and Oberhausen

We hope you enjoyed this post and now have a better understanding of pregnancy-related expenses and tax returns. Pregnancy can be very stressful. Therefore, you shouldn’t have to deal with tax issues as well. To save time and spare your nerves, you should come in for a consultation with us in Düsseldorf or Oberhausen. Our team will handle your tax matters and answer any questions you may have. Contact us to schedule an appointment.