Some 23andMe Gene Test Costs Tax Deductible Thanks to IRS Ruling (Corrected)

Consumers can get a tax break on the cost of certain 23andMe genetic tests, thanks to a recent ruling from the IRS.

Only parts of the test that relate directly to health—like genetic risks for lung or heart disease—are eligible for tax write-offs, according to a copy of the Internal Revenue Service’s decision.

An IRS spokesman declined to comment, saying legally he could not disclose tax return information. 23andMe posted a redacted copy of the IRS letter on its website July 22. The Wall Street Journal first reported the IRS’ decision.

The decision means health savings and flexible spending accounts ...