Is Long Term Care Insurance Payments Tax Deductible? 
Eligible premiums paid for tax-qualified long term care insurance can be applied toward meeting the 7.5 % floor for medical expense deductions on your federal income tax return . The amount of eligible long term care premium that can be applied to the 7.5 % floor depends on your age . The IRS publishes a table and adjusts the amount for inflation . The benefit payments from a tax-qualified long term care insurance policy are not considered taxable income to the recipient , up to a per diem limit . The per diem limit , which is adjusted annually for inflation , is $ 320 for 2013 . The preceding is for general information and planning purposes only and may not be relied upon as tax advice . You must consult with a tax adviser for more as it applies to your situation . 