1. Cosmetic Surgery Deduction Issue: Can Mrs. Gorgeous deduct the cost of cosmetic surgery improvements as a medical expense? Fact: Can Ms. Gorgeous deduct the cost of cosmetic surgery enhancements as a medical expense? Gorgeous is an aspiring actress who has managed to make a living doing TV commercials. She decided to get Botox injections on her forehead and collagen enhancements on her lips in order to make a career in the industry. After the procedures, her career improved dramatically and she received movie offers.Statutory: Section 213(d)(9) classifies and addresses cosmetic surgery as follows:(A) The term “medical care” does not include surgery cosmetic or other similar procedures, unless the surgery or procedure is necessary to improve a deformity resulting from, or directly related to, a congenital anomaly, a personal injury resulting from an accident, or trauma or a disfiguring disease. (B) The term “cosmetic surgery” means any procedure intended to improve the patient's appearance and not significantly promote the proper functioning of the body or prevent or cure disease or illness.Discussion:Ms. Gorgeous's cosmetic enhancements were solely to enhance her beauty and hopefully land her a better job. His procedures had nothing to do with correcting a deformity resulting from birth, disease or infirmity, or even an accident. Ms. Gorgeous claims to have read about another actress who had a facelift in 1988 and I believe that is not true... I have found no cases of cosmetic surgery that can be inferred solely to improve appearance. Bottom line: The IRR is quite strict and stays very true to its beliefs regarding cosmetic surgery and whether or not a situation requires a deduction. The only reason Ms. Gorgeous had the surgery was to look better although her career improved drastically after the surgery, however the surgery was still for pleasure. After studying this case and reading and understanding the facts, Ms. Gorgeous is not entitled to a deduction and if she tried to deduct it I am sure she would lose this case.2. Income from Blood Donation Issue: Should Samantha include the funds she receives from donating blood as gross income? Facts: Samantha has been unemployed for some time and is short of money She discovers that the local blood bank has a serious shortage of her blood type the blood bank is willing to pay $120 for each blood donation Samantha donates blood twice per week for 12 weeks, 24 payments of $120 equals $2,880 Statutory: Section 61 of the Tax Code states that gross income is defined as: “Except as otherwise provided in this subtitle, gross income means all income from any derivative sources, including (but not limited to) the following items: