April 2, 2012 11:23 am

Can You Deduct Pet Expenses?

You can’t claim your pet as a dependent, no matter how much a part of the family your pet is. You can’t treat veterinary bills as deductible medical expenses. And you can’t take an adoption credit for rescuing a pet from the pound.

This could change. A bill entitled Humanity and Pets Partnered through the Years (HAPPY Act) would allow pet owners to deduct up to $3,500 in pet expenses each year. It is too early to predict the likelihood of enactment of this measure at this time. We’ll continue to monitor this bill for you!

Tags: Pets
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Tax Glossary

Adjusted basis

A statutory term describing the cost used to determine your profit or loss from a sale or exchange of property. It is generally your original cost, increased by capital improvements, and decreased by depreciation, depletion, and other capital write-offs.

More terms