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Writer's pictureRetirementGuy

Are Funeral Expenses Tax-Deductible? Everything You Need to Know

An individual person who shoulders full or part of a deceased person’s funeral expenses cannot claim funeral or burial expenses on their individual itemized deductions as part of Schedule A of Form 1040, according to the IRS.


Instead of an individual, only funeral expenses paid out of the estate (the funeral costs are paid by the estate of the decedent, and not just any single individual) are instead tax-deductible against the decedent’s gross estate to determine the net taxable estate and corresponding estate taxes, subject to a threshold.


Simply put, individuals cannot claim tax deductions on funeral expenses paid out of their own pocket, and only the deceased's estate can benefit from the allowable tax deductions on funeral expenses.


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