How to Apply for an ADA Tax Credit in 2025: A Step-by-Step Guide for Eye Care Practices

For eye-care practices, the Americans with Disabilities Act (ADA) tax credit 2025 can turn required accessibility upgrades into a practical way to modernize your clinic while managing costs. By offsetting a portion of eligible accessibility-related spending, ADA compliance tax incentives help fund investments in accessible exam equipment, low-vision devices, and barrier-free exam rooms, without your practice absorbing the full expense. Although this credit has been available for years, the 2025 tax year is an opportunity to revisit your accessibility plan, coordinate projects with your equipment replacement cycle, and monitor any new IRS guidance so you can capture the maximum benefit while staying aligned with evolving regulatory and patient-access expectations.

Watch our Webinar: with expert guests from Refractional CFO: How Eye Care Practices Can Claim Up to $5,000 in ADA Tax Credits Before Year-End

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What Is the ADA Tax Credit 2025 and Why It Matters for Your Practice

The ADA tax credit most relevant to eye-care practices is the Disabled Access Credit under Internal Revenue Code §44. This accessibility tax credit for small business is designed to help eligible small businesses offset the cost of providing improved access for individuals with disabilities, including patients and staff. In general, the credit equals 50% of qualifying accessibility expenditures that exceed a small threshold amount, up to a maximum limit set by the tax code each year. Only certain “small businesses,” as defined by the IRS, can claim this credit, and only for eligible access-related expenses.

For optometry and ophthalmology practices, this credit can apply to a range of accessibility improvements. Examples include upgrading diagnostic equipment, such as visual field analyzers, to models with accessible interfaces; adding assistive technology for low-vision patients; enhancing website accessibility; or modifying office spaces and processes to make visits easier for patients with mobility, visual, or cognitive impairments. By reducing the net cost of these investments, the Disabled Access Credit can make it more feasible to modernize equipment and improve the patient experience while supporting compliance with accessibility requirements. In addition, the 2025 ADA tax credit may be combined with the separate architectural barrier removal deduction, further enhancing the overall tax benefit of ADA-related improvements.

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Are You Eligible for the ADA Tax Credit in 2025? Key Criteria for Eye Care Practices

An eye care practice qualifies for the Disabled Access Credit only if it meets the IRS “small business” definition: gross receipts of no more than $1 million in the preceding year or no more than 30 full-time employees (30+ hours per week for at least 20 weeks). Many independent optometry and ophthalmology groups, particularly single- or multi-location practices, fall within this threshold. 

Eligible access expenditures include reasonable and necessary costs to comply with the Americans with Disabilities Act, such as removing architectural or physical barriers in your office, acquiring or modifying equipment and devices for use by individuals with disabilities, and providing accessibility services like qualified readers, interpreters, or alternative formats for visual or audio materials. These rules allow practices to apply the accessibility tax credit for small businesses to barrier removal in waiting rooms and exam areas, adjustments to diagnostic equipment, and other patient-facing accessibility improvements.

However, certain costs do not qualify. Eligible expenditures cannot be related to facilities first placed in service after November 5, 1990, and the credit generally does not cover new construction, routine building expansion, or basic business expenses unrelated to ADA compliance. As of 2025, there is no widely publicized change specific to the Disabled Access Credit for the 2025 tax year, so practices should confirm any updates, deadlines, or interpretive guidance with a CPA or qualified tax advisor.

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What Qualifies: Eligible Expenses You Can Use for the ADA Tax Credit

Eligible expenses for the Disabled Access Credit fall into several practical categories for eye-care practices. 

• Physical modifications can qualify if they are specifically aimed at improving access for patients or employees with disabilities, rather than general remodeling. Some examples include adding ramps or curb cuts, widening doorways and hallways, installing accessible restrooms, or adjusting reception and exam areas so patients using wheelchairs or mobility aids can move safely.​
• Equipment and technology expenditures can qualify when they make services more accessible, such as purchasing or modifying low-vision devices, accessible visual field analyzers, adjustable exam chairs, or large-print and tactile signage. 
• Communication-related costs may also be eligible, including qualified interpreters, readers, audio or large-print materials for visually impaired patients, and assistive listening systems in waiting or education areas.​
• Digital accessibility investments may qualify when they improve access for people with disabilities, for example, upgrading your website and patient portal to meet recognized accessibility standards or adding screen-reader-friendly patient education content.

For all categories, only the portion of annual eligible expenditures above $250 qualifies, and the credit is generally capped at 50% of up to $10,250 in expenses, for a maximum federal credit of about $5,000 per year for an eligible small practice.

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Step-by-Step: How to Apply for the ADA Tax Credit in 2025

For 2025, claiming the ADA Disabled Access Credit is primarily about planning your accessibility projects, tracking them carefully, and filing the right forms on time with your business return. This structured Disabled Access Credit application process helps you translate clinical investments into a concrete tax benefit for your practice.

1. Document Eligible Expenditures.

Document your eligible expenditures in the 2025 tax year. Track each accessibility-related cost as you incur it, including invoices, contracts, dates, vendor information, and a short note describing how the change improves access for patients or employees with disabilities (e.g., “installed height-adjustable exam chair for wheelchair transfers”).

2. Confirm Practice Eligibility.

Ensure your practice meets the “small business” eligibility criteria before claiming the ADA tax credit 2025. Confirm that your prior-year gross receipts were at or below $1 million or that you employed no more than 30 full-time employees for at least 20 weeks, and verify that each expense is tied to ADA-related accessibility rather than general remodeling.

3. Complete IRS Form 8826.

Work with your accountant to calculate the credit and complete IRS Form 8826 (Disabled Access Credit). This form requires you to total eligible access expenditures, subtract the $250 minimum, apply the 50% credit rate, and observe the annual cap (generally up to about $5,000).

4. File With Your Business Return.

Attach the completed IRS Form 8826 to your 2025 business tax return (e.g., Form 1065, 1120, or 1120-S as appropriate). Coordinate with your tax advisor so the timing aligns with your filing deadlines and any extensions.

5. Maintain Audit-Ready Records.

Maintain an organized audit file for at least several years, including receipts, before-and-after photos or descriptions, vendor contracts, and internal notes explaining the ADA-related purpose of each improvement. This documentation helps substantiate that the expenditures were reasonable and necessary for accessibility.

6. Coordinate With Other ADA Compliance Tax Incentives.

Ask your CPA whether you can also claim the architectural barrier removal deduction in the same year, and how that interacts with the Disabled Access Credit. Plan the timing of your 2025 projects so qualifying work is completed and paid before year-end, and begin discussions with your advisor early in the year to avoid last-minute decisions.

Note: If you’ll claim the ADA tax credit for the next year, start planning now.

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Tips to Maximize the ADA Tax Credit and Avoid Common Mistakes

Thoughtful planning can help your eye-care practice capture the full value of the Disabled Access Credit while strengthening accessibility for patients with disabilities. 

To maximize the accessibility tax credit for small businesses, align accessibility projects with your normal equipment refresh cycles (e.g., upgrading exam chairs, visual field analyzers, or low-vision devices) and schedule physical and digital modifications early in the tax year so spending is complete before your 2025 filing deadline. Track which equipment and services are regularly used to examine or support patients with disabilities and flag these items in a separate “ADA accessibility” expense category in your accounting system.

Common pitfalls to avoid include: 

• Keeping incomplete documentation
• Confusing a deduction with a dollar-for-dollar credit
• Claiming expenses that are not “necessary and reasonable” for accessibility
• Missing return or extension deadlines

Maintain best practices, such as working with a CPA who understands healthcare and ADA compliance tax incentives, coordinating closely with your practice administrator and billing or finance lead, and reviewing IRS resources (e.g., Form 8826 instructions and disability-related tax benefit pages) at least annually to catch any 2025 updates before you file.

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For practices evaluating Virtual Field’s Annual Pro plan:

The annual cost is $4,308, which includes a built-in 10% discount. This amount can be applied toward your 2025 ADA tax credit if paid before December, 31 2025.

Additional discounts reduce your eligible credit, so annual pricing is already optimized

If you’d like help estimating how much your practice could claim, book a meeting for a personalized ADA optimization review

P.S. Many small practices automatically qualify for ADA §44, so it’s worth checking even if you’ve never claimed it before.

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Please note: This article is for educational purposes only and does not constitute legal or tax advice. Please consult your tax attorney or CPA for information unique to your practice.