Impairment-Related Work Expenses

Impairment-Related Work Expenses

Impairment-related expenses are those ordinary and necessary business expenses that are:
1. necessary for you to do your work satisfactorily;

2. for goods and services not required or used, other than incidentals, in your personal activities; and

3. not specifically covered under other income tax laws.

For these rules to apply, you must first meet the definition of disability. You have a disability if you have:

a physical or mental disability (for example, you are blind or hearing-impaired) that functionally limits your being employed; or

a physical or mental impairment (for example, a sight or hearing impairment) that substantially limits one or more of your major life activities, such as performing manual tasks, walking, speaking, breathing, learning or working.

If you have a disability, you can take a business deduction for expenses that are necessary for you to be able to work. If you take a business deduction for these impairment-related work expenses, they are not subject to the 7.5 percent limit that applies to medical expenses.