Medical/Dental Exemption

You're allowed an exemption for medical, dental and other expenses paid during the taxable year . You must itemize deductions on your Form 1040 - U.S. Individual Income Tax Returns.

For 2025, if you itemize on U.S. Schedule A (Line 4) and have medical/dental expenses greater than 7.5% of federal AGI, you may claim a medical and dental exemption in Massachusetts equal to the amount you reported on U.S. Schedule A, line 4. If either you or your spouse was born before January 2, 1950, it has to be greater than 7.5% of federal AGI. Married taxpayers:

Married filing joint for federal - File joint in Massachusetts to claim this exemption. Generally, you may include medical expenses paid for yourself, spouses, and dependents claimed on your return

Married filing separate for federal - File married filing joint for Massachusetts. If you file separate federal returns but a joint Massachusetts return, complete a pro-forma joint U.S. Schedule A to calculate the proper Massachusetts medical expense exemption. To be allowed the exemption, total itemized deductions must be greater than the standard deduction

Married filing separate for both federal and Massachusetts - Each spouse may file their own Schedule A

Massachusetts does not adopt the federal health insurance credit.

You can also include, in medical expenses, part of monthly or lump-sum life-care fees or "founder's fees" you paid to a retirement home under the agreement.

The part of the payment you can include is the cost of medical care. The agreement must have you pay a specific fee as a condition for the home's promise to provide lifetime care that includes medical care. However, you can't deduct the part of the founder's fee used to construct the health facilities.

If the person living in the retirement home chooses to terminate residence, you can include, in gross income, any refund of the founder's fee related to previously allowed deductions.

To report the exemption on your tax return:

Enter the amount reported on U.S. Schedule A (Line 4) on Form 1 (Line 2e) or Form 1-NR/PY (Line 4e).

If you're submitting an abatement/amended tax return, attach a copy of U.S. Schedule A.