In 2015, Wells paid the following expenses:
- Premiums on an insurance policy against loss of earnings due to sickness or accident: $3,000
- Physical therapy after spinal surgery: $2,000
Premium on an insurance policy that covers reimbursement for the cost of prescription drugs: $500
In 2015, Wells recovered $1,500 of the $2,000 that she paid for physical therapy through insurance reimbursement from a group medical policy paid for by her employer. Disregarding the adjusted gross income percentage threshold, what amount could be claimed on Wells' 2015 income tax return for medical expenses?
a. $4,000
b. $3,500
c. $1,000
d. $500
Answer: C