Tax Machine Blog™

I’m Cool with Caitlyn Jenner Being Who she is. So is the IRS.

A Pretty hot topic right now on the internet is “Bruce” Jenner’s transition to Caitlyn Jenner.

Caitlyn has taken steps to change her outward appearance in the past to match the person she has always been on the inside, but she recently undertook further medical steps to change her appearance. Caitlyn Jenner will be featured on an upcoming cover of Vanity Fair.

Since this is not a gossip or opinion blog, but a blog on tax issues, I am not going to cover Jenner’s transition at length. But I am allowed to have an opinion on it.

I am cool with Caitlyn being Caitlyn. I don’t think the haters have any reason to hate. This seems like a highly personal decision. I do not see the profit motive. It is obvious to anyone paying attention that Jenner is doing this for herself (and maybe for others) and not for profit.

I think it is also clear that Jenner is in a position – with her public visibly – to do a little bit of something for all of the Transgender individuals out there who feel the need to wear a mask because of the haters. I do not judge anyone who decides be who they really are in all places. And I do not judge anyone who – due to fear of the haters – decides to keep a part of them hidden to the outside world.

Jenner has extreme courage in showing the world who she really is, and hopefully it will go along way to adjust social norms to the point where the haters no longer get the comfort of laughs or nods in agreement when they express their irrelevant opinions on something they clearly do not grasp.

By the way – the IRS agrees with me. In 2011, the IRS issued an action on decision on the O’Donnabhain Case, A case where the U.S. Tax had answered the question “Whether hormone therapy and sex reassignment surgery constitute medical care within the meaning of §§ 213(d)(1)(A) and (9)(B)” in the affirmative.

A year and a half later, the IRS conceded the issue. The bottom line is that medical expenses incurred in gender and sexual transition are tax deductible.

Of course, for someone like Jenner – it is possible that Caitlyn makes too much money to qualify for the deduction. But the IRS’ acquiescence in O’Donnabhain makes it clear that under the right circumstances, these type of procedures should be tax deductible. And that is a good thing.

It’s not often that the IRS and I agree on something. This is one of those things we do agree on. We’re not haters. So why are you?