My son has dyslexia and it was brought to our attention that tuition for remedial reading courses were considered allowable medical expensed for a "Health Care Reimbursement Account". I searched the net and found a company whose HCRA was administered by a company called TRI-AD. In their literature they indicated that they indeed allowed reimbursments for this under their HCRA. Upon contacting my plan's administator (Accordia) they indicated this was not allowed. How can this be if all HCRA are governed by IRC 213??

I was recently looking for a inclusive list of covered expenses and found that there is no answer carved in stone apparently. What I did find is that generally, expenses covered are the same as for medical expenses allowed as defined by IRS publication 502. Try the web site:
http://www/irs.gov/prod/forms_pubs/pubs/p50207.htm

Look under the medical expenses, section referring to schools and education. You may also ask the TPA of your HCRA for a list of covered expenses. If they refer to this IRS document, it is apparently covered.

It is clear that the IRS permits this expense. However, an employer/sponsor is not required to include every permissible thing in a plan document. So you have to look at the document to see if it specifices what expenses the employer intended to have covered under the plan.

If your plan document does not specifically exclude such expenses, then you have firm grounds to appeal the denial which is your right.

See Revenue Ruling 69-607, which can be obtained at the following cite:

http://www.taxlinks.com/rulings/findinglis...evrulmaster.htm