The question of whether medical expenses are tax deductible is one which is frequently posed and we can consider this using the example of a self-employed farmer who seeks treatment from a chiropractor. She believes that the treatment will improve her ability to farm and therefore queries whether she can claim a deduction for this in her accounts.
HMRC do recognise that taxpayers need to be in good health in order to carry on their trade, this allows them to earn an income on which they will pay their taxes. However HMRC’s approach to medical expenses typically follows that applied to costs incurred for food and clothes.
In this instance the farmer’s medical expense will not be tax deductible as the treatment will positively impact her personal life and therefore the expenditure cannot be wholly and exclusively incurred for business purposes.
If you require any further information please contact Green & Co Accountants.
Please note: This article is a commentary on general principles and should not be interpreted as advice for your specific situation.