Why
Publication 502 allows eyeglasses and contact lenses needed for medical reasons. The IRS treats an eye exam as a medical expense because it diagnoses whether a disease or illness is present.
The IRS doesn't name prescription sunglasses or drugstore reading glasses, but they correct vision, so they fit the same rule.
What to keep
- An itemized receipt or invoice showing the lenses and frames.
- A copy of the prescription, which helps when the receipt doesn't say what the lenses were for.
Watch out for
- If a vision plan paid part of the bill, you can only reimburse what you paid yourself.
If you plan to reimburse yourself later
IRS Notice 2004-50, Q&A 39, sets no deadline, as long as the expense came after your HSA was established and your records show it wasn't paid by another source or deducted on a tax return. See what records the IRS expects and how long to keep them.