What Items Are FSA Deductions?

An FSA account, also known as a flexible spending account, allows individuals to set a portion of their paychecks aside to pay for items such as medical and dependent care expenses. Through employer "cafeteria plans" (plans that give employees the right to select their own benefit package), employees can receive another benefit provided by the IRS. During tax season, the IRS allows the following deductions for those with FSA accounts.

Laser Eye Surgery

• If you have an FSA account and need special medical attention for your eyesight, you can consider laser eye surgery. In addition to repairing your eyesight you may also save some money during tax season. Under Internal Revenue Service rules, laser eye surgeries are tax-deductible if your individual plan covers the surgery. As such, out-of-pocket expenses for the surgery would be deductible. Before scheduling surgery, it is recommended that you verify coverage, as well as additional guidelines, with your company's human resources department.

Alternative Treatments

• Examples of alternative treatments that are tax deductible under FSA accounts include chiropractic and acupuncture care, smoking cessation treatment (such as patches and gum), massage therapy and doctor-recommended weight loss programs. However, each of these treatments are only tax deductible if diagnosed by a physician. Also, it is important to have the requisite documentation and itemized receipts during tax time to avoid an IRS audit.

Dependent Care Expenses

• A dependent-care FSA account can save as much as $1,000 or more annually, according to the HSK Benefit Solutions website. Child care expenses and learning fees for disabled children are examples of dependent care expenses that are tax-deductible under a dependent-care FSA account. Tax deductions for dependent care also extend to the care provided for an elder or physically disabled adult. For married couples, the maximum amount of dependent-care expenses is $5,000 per year.