In the United States tax law, an above-the-line deduction is a deduction that the Internal Revenue Service allows a taxpayer to subtract from his or her gross income in arriving at "adjusted gross income" for the taxable year.
Certain below the line deductions are also phased out for high income taxpayers pursuant to Internal Revenue Code Section 68.
Medical and dental expenses are below the line deductions pursuant to Internal Revenue Code Section 67.
This includes reasonable allowance for salaries or other compensation for personal services rendered, traveling expenses (including amounts expended for meals and lodging other than amounts which are lavish or extravagant under the circumstances) while away from home in the pursuit of a trade or business; and rentals or other payments required to be made as a condition to the continued use or possession, for purposes of the trade or business, of property to which the taxpayer has not taken or is not taking title or in which he has no equity.
Internal Revenue Code Sections 62 states that the following items are allowable as above-the-line deductions: See also IRS Publication 17.