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Although not to be used as a rule of law, and applicable only to the parties submitting the inquiry, the IRS’ view on the deductibility of medical costs arising from IVF and surrogacy, provides insight to Intended Parents seeking guidance:

Based on the facts and representations submitted, the Service concludes that the costs and fees related to assisted reproductive technology, such as childbirth expenses for the surrogate pregnancy, medical insurance related to the surrogate pregnancy, egg donation, and other procedures effectuating surrogacy, not being performed directly on the Taxpayers or that are directly related to the surrogate pregnancy do not qualify as deductible medical expenses under § 213. Medical costs and fees of assisted reproductive technologies and other medical care directly attributable to Taxpayers are deductible within the limitations of § 213, including for sperm donation.

SOURCE: https://www.irs.gov/pub/irs-wd/202505002.pdf

(Modern Fertility Law does not provide tax or accounting advice. You should consult your own tax and accounting advisors before engaging in any transaction or preparing tax forms.)