If you or someone you love is in recovery, you’ve likely heard of sober living homes—safe, supportive housing designed to help individuals stay focused on healing. But with the cost of care adding up, many people ask: Is sober living tax-deductible?
The short answer: It can be, but only in certain situations. In this guide, we’ll walk through everything you need to know—clearly and simply—so you can better understand your financial options, including potential tax deductions for sober living.
Your Guide to Tax Deductions: Sober Living Edition
Is Sober Living Tax-Deductible?
Yes, sober living expenses can be tax-deductible, but only if they are considered medically necessary and part of a formal treatment plan. According to the IRS, some housing costs may qualify as medical expenses, but only under very specific conditions.
This means that not everyone will be able to claim a recovery housing tax write-off, and personal or lifestyle-related stays in sober living homes won’t qualify.
What Are the Requirements for Sober Living to Be Tax-Deductible?
To claim tax deductions for sober living, all of the following must apply:
- A licensed medical or mental health professional (like a doctor or therapist) must recommend sober living as part of a recovery treatment plan.
- The sober living home must offer supportive services that contribute to ongoing recovery (such as accountability, structure, or peer support).
- You must itemize your deductions and have unreimbursed medical expenses that exceed 7.5% of your adjusted gross income (AGI).
If these conditions aren’t met, the IRS will likely consider the cost of sober living a personal expense, which cannot be deducted.
What Expenses Could Potentially Qualify?
If sober living is prescribed as part of a medical treatment plan, some of the associated costs may qualify for deduction, such as:
- Monthly program or rent fees are paid to the sober living home
- Recovery-related services included in the housing arrangement (like mandatory group meetings or on-site support staff)
- Transportation costs to and from medical appointments, if facilitated through the sober living program
However, these types of costs do not qualify:
- Groceries or meals
- Personal expenses (entertainment, outings, etc.)
- Fees for non-recovery-related amenities
Who Can Claim the Deduction?
- The individual living in the sober home, if they paid the costs directly
- A parent or guardian, if the individual is a dependent and part of their household
- A spouse, if the couple files jointly, and the expense was paid from joint funds
As with any tax deduction, your eligibility may depend on your personal filing situation—consulting a tax professional is a good idea.
What Documentation Do You Need?
To successfully claim a recovery housing tax write-off, you’ll need to keep detailed records throughout the year:
- A letter or statement from a healthcare provider recommending sober living
- Receipts or proof of payment for the sober living program
- A breakdown of what the program fees cover (especially recovery-related services)
Keeping organized documentation is essential, especially if the IRS ever asks for proof.
How Do You Claim the Deduction?
If your sober living expenses meet the criteria listed above, you can report them as medical expenses on Schedule A of your federal tax return (Form 1040). A few things to note:
- You must itemize deductions (rather than taking the standard deduction)
- You can only deduct the portion of your total medical expenses that exceeds 7.5% of your adjusted gross income
State tax rules may vary, so be sure to check for additional benefits in your area.
Affordable Sober Living Options in Scottsdale and Denver
Understanding whether you qualify for tax deductions for sober living can ease some of the financial pressure during recovery. While not everyone will meet the IRS criteria, those who do may be able to reduce their out-of-pocket costs with the right documentation and professional guidance.
If you’re exploring your options for safe, structured housing, Sober Living Apartments offer affordable, community-oriented environments designed to support long-term recovery. Check out our two locations below:
And suppose sober living is part of a medically recommended plan. In that case, it may even qualify as a recovery housing tax write-off, making your path forward just a little more manageable.
Note: This article is for general information only and is not intended as tax or legal advice. Please speak with a qualified tax professional to review your specific situation.
