Tax Deductions for Durable Medical Equipment

Is a wheelchair van tax deductible? While the cost of an accessible vehicle as a whole is not deductible, there are tax credits for specific types of durable medical equipment (DME) that you can take advantage of. We wanted to remind our customers of the disability tax deductions available if they purchased mobility equipment this year. 

What Is the Deduction for Wheelchair Vans?

Wheelchair vans are a type of vehicle specially designed to transport individuals in wheelchairs. They are typically equipped with a lift or ramp that allows the wheelchair user to enter and exit the vehicle with ease. The cost of purchasing and equipping a wheelchair van can be expensive, and the federal government offers a tax deduction for those who purchase these vehicles.  

The Internal Revenue Service allows individuals to claim a tax deduction for the purchase and installation of wheelchair vans. The tax deduction applies to the cost of the wheelchair van itself and any additional modifications needed to make the vehicle accessible. This includes items such as wheelchair lifts, wheelchair ramps, and other accessibility modifications. The deduction cannot exceed the cost of the vehicle but can be used to reduce the overall cost of the purchase. 

 To take advantage of this tax deduction, the wheelchair van must be used for medical purposes and owned by the taxpayer. The taxpayer must provide proof of medical necessity for the purchase of the vehicle. The IRS requires a doctor’s note indicating the medical condition of the wheelchair user and the need for the vehicle. It is important to keep all receipts and documentation associated with the purchase and installation of the wheelchair van in order to properly claim the deduction on taxes.  

The tax deduction for wheelchair vans can help reduce the financial burden of purchasing a vehicle for those with limited mobility. The deduction can be used to make a wheelchair van more affordable, allowing those with disabilities to enjoy the same freedom of mobility that able-bodied individuals have. 

How Do You Qualify for DME Tax Deduction?

Wheelchair users who have purchased an accessible vehicle from United Access this year may qualify for a federal medical expense tax deduction. The IRS allows individuals to deduct the cost of medical equipment, including wheelchair vans, from their taxes if they qualify for the Durable Medical Equipment (DME) tax deduction. To qualify for this tax deduction, the taxpayer must meet several requirements, including the following:   

1. The equipment must be prescribed by a doctor. The doctor must write a prescription for the equipment and the taxpayer must be able to provide proof of the prescription upon request.  
2. The equipment must be used to treat a medical condition. The medical condition must be documented by a doctor and the taxpayer must be able to provide proof of the condition upon request.  
3. The equipment must be used primarily for medical purposes. The taxpayer must be able to provide proof that the equipment is being used primarily for medical purposes.  
4. The taxpayer must be able to provide proof of ownership of the equipment. The taxpayer must be able to provide proof of ownership of the equipment upon request.
5. The taxpayer must be able to provide proof of payment for the equipment. The taxpayer must be able to provide proof of payment for the equipment upon request.  
6. The taxpayer must be able to provide proof that the equipment was purchased in the current tax year. The taxpayer must be able to provide proof that the equipment was purchased in the current tax year upon request.   

If the taxpayer meets all the requirements for the DME tax deduction, then the cost of the wheelchair van can be deducted from their taxes. For more information on the DME tax deduction, please consult a qualified tax professional.  

Frequently Asked Questions About DME Tax Deductions 

Is a wheelchair van tax deductible? 

IRS Publication 502 states that “the cost of special hand controls and other special equipment installed in a car for the use of a person with a disability” is an allowable deduction. While this means the full cost of your wheelchair accessible vehicle cannot be deducted, you may be able to deduct the equipment that makes your van accessible such as transfer seats, hand controls, securement systems, and more. 

Can I claim a mobility scooter on my taxes? 

Mobility aids such as scooters, wheelchairs, and other people carriers are tax-deductible medical expenses.  

Are handicap accessible improvements tax deductible? 

Handicap accessible home improvements are tax deductible. You can deduct part of the cost of these improvements from your taxes. Some of these improvements include: widening doorways, installing a wheelchair ramp, adding a handicap-accessible bathroom, installing a stairlift, or any other changes you may make to accommodate your disability. 

Learn more about Disability Tax Deductions to help get you the biggest return.