Page 15

FOOD AND NUTRITION SERVICES CERTIFICATION INCOME AND RESOURCES FNS 340 DEDUCTIONS Section 340 Change #02-2026 August 4, 2026 DEDUCTIONS REFERENCE SHEET Ineligible Individual Shelter Expense Included in SUA/BUA/ TUA Legal Support Obligation Medical Expenses Ineligible Non- citizen If paid by the individual allow a prorated deduction. Yes If paid by the individual allow a prorated deduction. If paid for the individual, do not allow deduction. Ineligible for failure to provide SSN If paid by the individual allow a prorated deduction. Yes If paid by the individual allow a prorated deduction. If paid for the individual, do not allow deduction. Ineligible ABAWD If paid by the individual allow a prorated deduction. Yes If paid by the individual allow a prorated deduction. If paid for the individual, do not allow deduction. Disqualified for : • IPV • Work Registration • Drug Conviction • Transfer of resources Allow full deduction. Yes Allow full deduction. Allow full deduction • Ineligible Fleeing Felons • Probation / Parole Violators Allow full deduction. Yes Allow full deduction. Allow full deduction Non-household members such as: • Separate Household • Ineligible students • Roomers • Boarders *Do not allow deduction. No *Do not allow deduction. *Do not allow deduction. * If the HH’s expenses are paid to the providers, consider the payments as vendor payments. Do not count as income and do not allow deductions for paid expenses. * If the HH’s shelter expenses are shared with the Non-HH member, treat as a: o Pass through payment – if the HH is renting the property, allow the household’s share as a deduction. o Unearned income – if the HH owns the property, allow the entire expense as a deduction 340.13 MEDICAL DEDUCTIONS A. Eligibility 1. Any specified person (except ineligible aliens, ineligible ABAWDS, or individuals ineligible for failure to enumerate) as defined in FNS 212.02 Specified Person is allowed a medical deduction for all medical expenses that will not be paid or reimbursed by another source, such as portions paid by insurance, Medicaid, Medicare, law suits, and special foundations, like the Kidney Foundation. 2. A specified person who was a member of the FNS household immediately prior to entering a hospital, nursing home, or who has died would be allowed incurred medical expenses. Allow the FNS unit that contained the specified person those