Veterinary bills are tax deductions in some cases.
A pet owner may spend a good portion of her business or personal income providing routine checkups or other veterinary services for her animals. Depending on the purpose of the veterinary bills, tax deductions are sometimes available for these expenses when filing a tax return. It is important to follow the eligibility requirements closely when deducting these expenses, and hiring a tax professional may be the best option when doing so.
Guide Animals
It is possible to claim veterinary bills as a tax deduction if the animal is a guide animal or is used for any other purpose to help a disabled individual. If you are unsure whether your animal qualifies as a deduction, speak with a tax representative.
Business Taxes
Expenses for animals used for business purposes are eligible for tax deductions. For example, you may own a business that houses animals while owners are on vacation. If an animal becomes sick and requires medical attention, then you may deduct this from your taxes. This is, of course, if you do not seek reimbursement from the owner of the animal. Other situations may involve veterinary bills for working with animals in canine sports such as dog shows or any other situation that involves veterinary visits for a business-related purpose.
Personal Taxes
Veterinary bills are not eligible as a tax deduction if you do not meet these first two qualifications. Individuals who try to claim these expenses on tax returns risk being audited and receiving penalties and fines.
Dependents
In addition, the IRS does not consider pets as dependents as they do not fit the eligibility criteria as dependents of the taxpayer. Although a taxpayer may deduct qualifying dependent expenses from his taxes, he cannot deduct pet expenses.
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