Nursing home assessment credit
Who is eligible?
You are entitled to this refundable credit if you:
Paid the nursing home assessment imposed on a New York State nursing home. You can find the amount of this assessment on the billing statement or other statements provided to a resident by the nursing home. The assessment amount is not the amount of expenses paid.
- You can claim the credit only if you actually paid the assessment. For example, you may claim the credit if your mother is a nursing home resident and you paid the assessment on her behalf. If your mother paid the assessment, only she can claim the credit.
- If you are a nursing home resident and assign your long-term insurance benefits to the nursing home, you may claim a credit for the amount of those insurance benefits that represent the assessment payment.
- You cannot claim the credit for any part of the assessment paid directly to the nursing home by a health insurance policy, with public funds (such as, Medicaid or Medicare), or paid by a trust or other entity.
How much is the credit?
The credit is equal to the 6% base-rate portion of the assessment that you directly paid during the year. It is not the amount of total care expenses paid during the year.
Example: During the tax year, you paid a total of $106,800 for nursing home care including $100,000 for total care expenses and $6,800 for New York State assessment. The amount of the credit allowed would be $6,000 ($100,000 total care expenses X .06). Although the New York assessment rate fluctuates, the credit is limited to 6% of the total care expenses.
- Form IT-258, Claim for Nursing Home Assessment Credit.