Doctor's 'concierge' fee

[Diane]

I have a client whose primary care doctor is going to charge an annual fee to his patients. He will only be taking the first 600 who sign up. They call it a concierge fee. This fee is supposedly going to give each patient more time with the doctor and more wellness programs. She is asking if it will be deductible as a medical expense. My first inclination is Yes. Has anyone else heard of this?

Diane

[Margaret CPA in OH]

I've heard of this and have been wondering myself. My inclination would be that it would be deductible as much as a copay would be as it is for the physician's services. I can imagine that there will be some litigation and a determination on this at some point.

[Lion EA]

The firm (Concierge Choice) giving a presentation to us patients said that a fee to be eligible for concierge services would not be a medical deduction as it's an administrative fee. However, if the annual fee covers, for instance, a physical exam or other medical services only offered to concierge patients, then the fee is a medical deduction. Not that I'd trust such an administrative service to prepare my taxes, but their nationwide legal department provides a jumping off point for futher research.

[Diane]

Thanks, I'll have my client get more details on this fee.

Diane