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Wednesday, March 16, 2011

Are Dogs Really Deductible Expenses?

Over the years, I've been asked some pretty "out there" questions by tax clients trying to lower their tax bill. I'm often asked about pets and whether they can be claimed on taxes, either as dependents or as security systems. Here's the run-down on claiming pets on your taxes:
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As tax time rolls around again, I get many questions about what is and is not deductible. Many clients want to know if there is any way that they can claim their pets on their taxes, as pet food, bedding, medications, and vet bills can add up quickly. The short answer is: most likely not. Here are the four most common justifications that taxpayers use to claim their pets on their taxes.

My pet is my dependent.

We all know that some people love their dogs and cats just as if they were children. Our pets truly are dependent on us for their health and welfare. Unfortunately, the IRS does not see it that way. In order to claim dependents, they have to have a social security number and only two legs.

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