Can You Claim a Miscarriage on Your Taxes?

Tax laws can be complicated, especially when dealing with sensitive life events like a miscarriage. Many wonder whether they can claim a miscarriage on their taxes, either as a dependent or through medical expense deductions. The IRS has specific rules regarding dependents and qualified expenses, but understanding how they apply to pregnancy loss isn’t always straightforward.

Certain tax provisions may provide financial relief, but eligibility depends on various factors.

IRS Dependent Criteria

The IRS has strict guidelines for claiming a dependent, including requirements related to relationship, residency, support, and age. A child must have lived with the taxpayer for more than half the year and be under 19 (or under 24 if a full-time student).

A miscarriage does not meet these requirements because the IRS defines a dependent child as one who has been born alive. Even if a pregnancy lasted several months, a fetus that was never delivered alive does not qualify. The IRS follows state laws in defining a live birth, typically requiring evidence of independent life outside the womb, such as breathing or a heartbeat after delivery.

Stillbirths also do not qualify. Even if a child was carried to full term, tax benefits such as the Child Tax Credit or the Earned Income Tax Credit cannot be claimed unless there was a live birth. Some states issue birth certificates for stillborn children, but this does not change federal tax eligibility.

Medical Expenses Related to Miscarriage

Pregnancy loss can result in significant medical costs, many of which may be deductible if they meet IRS guidelines. These include doctor visits, hospital stays, surgical procedures, prescription medications, and mental health counseling. To claim these expenses, they must have been paid out-of-pocket and not reimbursed by insurance or another source.

For 2024 tax filings, medical expenses are deductible only if they exceed 7.5% of adjusted gross income (AGI). For example, if a taxpayer has an AGI of $50,000, only the portion of medical expenses above $3,750 would be deductible. Emergency care, ultrasounds, and follow-up treatments can add up, making it possible for some individuals to surpass this threshold.

Certain ancillary expenses may also qualify. Transportation costs for medical appointments, including mileage, parking fees, and tolls, can be included in the deduction. If treatment required travel to another city, lodging expenses up to $50 per night may also be deductible for the patient and one accompanying person.

Filing Status Implications

Filing status affects tax brackets, standard deductions, and eligibility for certain credits. For those married at the end of the tax year, choosing between filing jointly or separately can impact tax liability, particularly when medical deductions are involved. Since medical expenses are only deductible if they exceed 7.5% of AGI, filing separately may make it easier to reach this threshold, though it can also reduce eligibility for other tax benefits.

Unmarried individuals may have different options depending on their circumstances. If they qualify as head of household, they can benefit from a larger standard deduction and more favorable tax brackets compared to filing as single. To claim this status, they must have paid more than half the costs of maintaining a home and had a qualifying dependent. Since a miscarriage does not result in a dependent, eligibility for this status would depend on whether another qualifying individual, such as a child from a previous relationship or a dependent relative, lived in the home for more than half the year.

Consulting a Tax Professional

Navigating tax laws after a miscarriage can be complicated, particularly when assessing eligibility for deductions or determining how financial circumstances affect tax liability. A tax professional can provide guidance tailored to an individual’s situation, ensuring all potential tax benefits are explored while maintaining compliance with IRS regulations.

A professional can also clarify how employer-provided benefits, such as Health Savings Accounts (HSAs) or Flexible Spending Accounts (FSAs), interact with medical expenses. Contributions to these accounts are made pre-tax, reducing taxable income, but expenses reimbursed through them cannot be deducted on a tax return. Misreporting these transactions can lead to audits or penalties, making expert oversight beneficial.

For those facing financial hardship due to medical costs, an advisor may assist in exploring options such as IRS payment plans or penalty relief for underpayment of estimated taxes. They can also clarify state-specific tax provisions, as some states offer deductions or credits not available at the federal level.