Medical Expense Tax Credit Act

Medical Expense Tax Credit Act - Amends the Internal Revenue Code to allow a refundable income tax credit for medical expenses incurred by a taxpayer or his dependents, in lieu of the income tax deduction presently allowed by law. Establishes the amount of such credit at 85 percent of the medical care expenses paid by the taxpayer to the extent that such expenses exceed 15 percent of the taxpayer's modified gross income and do not exceed 25 percent of such income, and 100 percent of such expenses to the extent that they exceed 25 percent of the taxpayer's modified gross income.

Defines "medical care" as usual, customary and reasonable amounts paid for the diagnosis, cure, mitigation, treatment, or prevention of disease, for transportation to medical care, for domiciliary and intermediate care facilities, and health care insurance.

Repeals the income tax deduction for medical and dental expenses.

Provides for the advance payment of the medical care expenses credit to a taxpayer who reasonably anticipates medical expenses in excess of the income levels established by this Act.

Authorizes the President to study the adequacy of the use of such refundable credit in meeting the health care needs of the Nation as an alternative to all Federal medical assistance and health care programs.