The IRS has announced the 2010 limits on the tax deductibility of qualified long term care insurance premiums. Deductible limits were increased for every age group, ranging from $10 for the youngest group to more $130 for the oldest. For the first time, the maximum deductible limit for an individual exceeds $4,000.
The 2010 limits are as follows:
Attained Age Before Close of Taxable Year Maximum Deductible Limit
Age 40 or less: $ 330
More than 40 but not more than 50: $ 620
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
The maximum non-taxable per diem benefit will be $290 in 2010, up $10 from 2009.
Sources:
IRS Revenue Procedure 2008-66, 2009-50
The Corporation for Long-Term Care Certification, Inc.