In a landmark case for transgender rights, the U.S. Tax Court found that Rhiannon O’Donnabhain can deduct medical expenses associated with her gender-reassignment surgery. Born a man, O’Donnabhain filed a lawsuit in 2007 with the IRS after her $5,000 deduction in medical expenses associated with her transgender surgery was denied. The reason: The IRS considered it a cosmetic procedure, not a medical necessity.
But in O’Donnabhain v. Commissioner of Internal Revenue, the U.S. Tax Court found that sex-reassignment surgeries can qualify as deductible medical expenses under IRS code 213 (d) (1) (A) & (9) (B). It medically defines gender identity disorder (GID) and holds that hormone therapy, gender-reassignment surgery, and breast augmentation in certain cases, are recognized treatments and not cosmetic procedures.
“The tax court has spoken for my community and has supported my community by saying that this is a proper medical deduction, much the same as an appendectomy or open heart surgery,” O’Donnabhain told The New York Times.
