Long-Term Care Insurance Tax Deductions Increased

The Internal Revenue Service (IRS) announced increased deductibility levels for long-term care insurance policies purchased in 2011.

"For taxable years beginning in 2011, the limitations have been increased," explains Jesse Slome, executive director of the American Association for Long-Term Care Insurance http://www.aaltci.org, the industry's trade association. “Tax advantaged long-term care insurance remains one of the few remaining significant tax-savings benefits especially meaningful for small business owners."

The deductible limits under Section 213(d)(10) for eligible long-term care premiums includable in the term ‘medical care’ are as follows:

Attained Age Before Close of Taxable Year
2011 Deductible Limits
40 or less $ 340
More than 40 but not more than 50 $ 640
More than 50 but not more than 60 $1,230
More than 60 but not more than 70 $3,290
More than 70 $4,110

2010 Deductible Limits
40 or less $ 330
More than 40 but not more than 50 $ 620
More than 50 but not more than 60 $1,270
More than 60 but not more than 70 $3,390
More than 70 $4,240
Source: IRS Revenue Procedure 2010-40 (2011 limits) and 2009-50 (2010 limits)

A complete explanation of tax deductible rules for individuals and business owners can be found on the Association's website: http://www.aaltci.org/tax .

The American Association for Long-Term Care Insurance http://www.aaltci.org/ is the national association serving insurance and financial professionals who provide long-term care financing solutions.

Jesse Slome is a leading expert in the fields of long-term care and critical illness insurance. He is founder and executive director of the American Association for Long-Term Care Association http://www.aaltci.org/ and the American Association for Critical Illness Insurance http://www.criticalillnessinsuranceinfo.org/ the industry trade organizations.

Jesse Slome
AALTCI
3835 E Thousand Oaks Blvd
Westlake Village, CA 91362

This release was published on openPR.