Medical Expenses Deduction Threshold in the 730 Form/2024: Cases Where the Deduction Does Not Apply

Understanding Medical Expenses Deductions in Italy: 730/2024 Model

For eligibility to deduct medical and healthcare expenses in 2023, the amount incurred must exceed the deductible threshold, otherwise you won’t be entitled to the 19% refund on expenses in the 730/2024 tax return.

The deduction for these types of expenses is set at 19%, like most other deductible expenses, but it applies only to amounts exceeding the deductible threshold.
This threshold is fixed at 129.11 euros.
For expenses up to this amount, the deduction in the 730 return is not recognized.
To qualify for it in the 2024 model, therefore, you must have spent more than 129.11 euros in 2023.

What is the Deductible Threshold and Consequences of Not Exceeding It?

The deduction for medical and healthcare expenses, usually 19% of the amount incurred, is granted for the portion that exceeds the deductible threshold.
In essence, the deductible threshold is the minimum spending amount, set at 129.11 euros, below which no tax refund is recognized.

To understand the amount on which the refund will be calculated in the 730/2024 model, you need to subtract the deductible threshold from the total expenses incurred.

As explained by the Revenue Agency, the 19% tax refund is calculated not on the total amount spent but only on the portion that exceeds the minimum amount of 129.11 euros.

Example to Understand How the Deductible Threshold Works

Let’s delve into an example to grasp how the deductible threshold works.
Taxpayer A incurred medical expenses for drugs and specialist visits totaling 123 euros in 2023.
In this case, not exceeding the deductible threshold means no entitlement to any deduction in the 730/2024 model.

On the other hand, taxpayer B incurred expenses totaling 350 euros in 2023; in this scenario, the deduction will apply only to the portion exceeding the deductible threshold, i.e., 220.89 euros (350 euros – 129.11 euros).
The 19% tax discount calculated on this deductible amount will be around 41 euros.

Exceptions to the deductible threshold apply to medical expenses incurred by or for individuals with disabilities.
In such cases, the tax refund in the 730/2024 model will be calculated on the entire amount spent in 2023.

Expenses incurred for purchasing vehicles for transportation, mobility, or lifting for disabled individuals, as well as technical and computer aids that facilitate integration and self-sufficiency, can also be deducted even if below the deductible threshold.
This deduction (always at 19%) should be indicated in the E4/E5 section.