Income Tax Medical Deduction BR

Medical expenses on IRPF: unlimited deduction (complete model only)

Brazilian income tax (IRPF) lets you knock medical expenses off the annual taxable base with no cap, though that only holds in the complete model (modelo completo) of the DIRPF. The simplified model swaps that for a flat 20% reduction (max R$ 16,754.34). What you save comes out to deductible expense · marginal rate. Say you spent R$ 12,000 on dental work and exams and sit in the 27.5% bracket: that is R$ 3,300 in tax saved, or refunded.

The list of what qualifies is broad: doctor consultations, exams, hospital stays, surgeries, prosthetics, orthotics, dental treatment, speech therapy (fonoaudiólogo), psychology, physiotherapy, and health-insurance premiums (plano de saúde) the taxpayer pays for themselves and legal dependents. Treatment abroad counts too, as long as you have translated receipts. Aesthetic procedures are where it stops: botox, plastic surgery with no medical reason, gym memberships and cosmetics are not deductible.

Applications

Run the numbers before the March-May DIRPF filing to see your likely refund or reduction. Decide whether the simplified or complete model wins. Time a big procedure so it lands inside the right calendar year. Or work out the tax value of a corporate health plan when your employer covers part of the premium.

FAQ

What documentation is required? Keep the original receipts or invoices, with the provider name, CPF/CNPJ, address, date, a description of the service and the patient name. The RFB checks providers against DMED, the annual declaration clinics and insurers have to file.

Can I deduct expenses paid for my parents? Only when they are declared as legal dependents, which requires income below R$ 24,511.92/year in 2024. If not, they fall under alimentandos with judicial alimony.

Why is the simplified model sometimes better? When your total deductions (medical + education + dependents + INSS) add up to less than 20% of taxable income, the flat discount of the simplified model comes out ahead of the itemized sum.