The Intermal Revenue Service (IRS) has just announced increased tax deductibility levels for long-term care insurance policies purchased in 2011. These limits apply to self-employed, partners, and owners of S-corporations.
The deductible limits for eligible long-term care insurance premiums includable in the term 'medical care' are as follows:
Attained Age Before The Close Of Taxable Year
40 or Less $ 340
More than 40 but not more than 50 $ 640
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
For calendar year 2011, the per-diem limitation under 7702B(d)(4) regarding periodic payments received under a qualified LTC insurance policy is $ 300.
