Deducting Home Modifications as a Medical Expense (IRS Publication 502)

Updated October 18, 2026 · By the Aging in Place Grants research desk · How we research

Many accessibility changes can count as deductible medical expenses if you itemize, under the IRS rules in Publication 502.

The basic idea

The IRS treats certain home changes as medical expenses. If you install a ramp or grab bars because of a medical condition, that cost may help lower your taxes. The rules are in IRS Publication 502, Medical and Dental Expenses ¹.

There are two big conditions. First, you have to itemize deductions. Second, only medical costs above a certain amount count.

The 7.5 percent rule

You can deduct only the part of your total medical and dental costs that is more than 7.5 percent of your adjusted gross income (AGI) ¹. You must itemize on Schedule A to claim it ¹.

Example: If your AGI is $60,000, 7.5 percent is $4,500. If your medical costs for the year, including a qualifying home change, total $14,500, the deductible amount is $10,000.

Changes that usually count in full

The IRS lists changes that generally do not raise a home's value. If made for medical reasons and reasonable in cost, their full cost can count as a medical expense ¹:

• Entrance or exit ramps
• Widening doorways at entrances or exits
• Widening or changing hallways and interior doorways
• Railings, support bars or other bathroom changes
• Lowering or changing kitchen cabinets and equipment
• Moving or changing electrical outlets and fixtures
• Porch lifts and other lifts (but elevators generally do add value)
• Changing fire alarms, smoke detectors and other warning systems
• Changing stairways
• Handrails or grab bars anywhere in the home
• Changing door hardware
• Changing areas in front of entrance and exit doorways
• Grading the ground to give access to the home

Extra costs for personal or style reasons do not count ¹.

Changes that may add value

Some medical improvements make a home worth more. Publication 502 says that if an improvement raises your property's value, you subtract the increase from the cost. Only the rest counts as a medical expense ¹. If the value goes up by as much as the cost, or more, none of it counts ¹.

An elevator is the classic example. The IRS says elevators generally add value ¹. A large bathroom remodel or addition might too.

To support your numbers, ask an appraiser for a written before-and-after value. Keep it with your tax records.

A simple illustration

These numbers are made up to show how the IRS method works. Say a medical project costs $20,000, and an appraiser says it raises your home's value by $8,000. Under the Publication 502 method, you subtract the $8,000 value increase from the $20,000 cost. That leaves $12,000 that can count as a medical expense, as long as the cost was reasonable and made for medical reasons ¹.

Now say the project is a ramp and grab bars costing $6,000. These are on the IRS list of changes that generally do not add value. So the full $6,000 can usually count ¹.

Upkeep counts too

If a medical improvement needs to run or be maintained, those costs can count when the main reason is medical care, even if the original cost did not qualify ¹. Think of electricity or service visits for a lift.

Renters can sometimes count costs

Publication 502 gives the example of a renter who, for medical reasons, put in a first-floor shower stall and was not reimbursed by the landlord. The renter could count the full amount ¹.

Payments from others

You cannot count costs paid by insurance or other sources ¹. If a grant paid for part of your ramp, only count what you paid yourself.

Will itemizing help you?

For many older adults, the standard deduction is bigger than their itemized deductions. Itemizing only helps if your total itemized deductions are higher.

For tax year 2026, the standard deduction is $32,200 for married couples filing jointly and $16,100 for single filers ³. People 65 and older, or blind, get an extra $1,650 each if married, or $2,050 if unmarried ³.

There is also a newer "enhanced senior deduction." For tax years 2025 through 2028, people 65 and older can deduct an extra $6,000 each ($12,000 for a couple if both qualify) ². It phases out above $75,000 of modified AGI, or $150,000 for joint filers ². You can take it whether or not you itemize ².

A big home project can tip the math toward itemizing, especially when combined with other medical costs like long-term care or insurance premiums. Run the numbers both ways.

Recordkeeping checklist

• A doctor's or therapist's note explaining why the change is medically needed
• Contracts, invoices and proof of payment
• Before-and-after photos
• An appraisal if the change might raise the home's value
• Records of any grants or insurance payments

When to get help

For large projects, an elevator, an addition, or costs paid by an adult child, talk to a tax professional. Free help may also be available through IRS-sponsored volunteer programs for older taxpayers.

Common questions

Are grab bars tax deductible?

Yes, as a medical expense if you itemize and the bars are installed for medical reasons. The IRS lists handrails and grab bars among changes that generally do not add value to a home, so their full reasonable cost can usually be counted.

Can I deduct a walk-in shower?

Bathroom modifications made for a medical reason can count. If the project also adds value to your home, you can only count the part of the cost above the value increase, and extra costs for style choices do not count.

Is a stair lift or elevator deductible?

The IRS lists porch lifts and other lifts among changes that generally do not add value, but notes that elevators generally do add value. For an elevator, only the cost above the increase in home value counts.

What is the 7.5% rule?

You can deduct only the part of your total medical and dental expenses that is more than 7.5% of your adjusted gross income, and only if you itemize.

Can my adult child deduct changes made to my home?

The deduction applies to medical expenses for yourself, your spouse and your dependents. If your child pays and you qualify as their dependent for this purpose, they may be able to count it. Ask a tax professional.

Sources

1. Publication 502 (2025), Medical and Dental Expenses — Internal Revenue Service. Checked October 18, 2026.
2. One, Big, Beautiful Bill provisions: individuals and workers (enhanced deduction for seniors) — Internal Revenue Service. Checked October 18, 2026.
3. Revenue Procedure 2025-32 (2026 inflation adjustments) — Internal Revenue Service. Checked October 18, 2026.