As of February 2011, the Internal Revenue Service announced that breast pumps and other lactation supplies are tax deductible as medical expenses. The new ruling means that families can use pre-tax funds from their flexible spending accounts and health savings accounts for these supplies.
Under the Affordable Care Act signed in January 2013, breast pumps are 100% tax deductible, requiring health insurers to pay for equipment. Unfortunately, the language doesn’t spell out exactly what insurers have to pay for, and that’s leaves insurance companies room for interpretation to pay the minimum. The law does not also specify what brands or types of pumps a health insurance company is required to cover. According to consumer investigation, “some insurers are covering the cost of manual breast pumps only, rather than electric ones that are much more efficient and more expensive.”
Medical expenses are not deductible until they exceed 7.5 percent of adjusted gross income. Since most mothers incur this expense in the same year that they are also piling up expenses involved in pregnancy and childbirth, their total healthcare spending could put them over the top for the deduction.
Here are a few news articles that discuss the IRS Deductions.
- More On Free Breast Pumps And The Affordable Care Act – Huffington Post
- The Breast Pump Industry is Booming Thanks To Obamacare – The Washington Post
- Breast Pumps: Now Tax Deductible Expense, Says IRS – Huffington Post
- The IRS, Breast Pumps and other Updates – NY Times Parenting Blog
- Breast Pumps Now Deductible, IRS Says – WSJ Blog