Attorney Challenges IRS: Can Pets Be Dependents?

If your pet's veterinary bills, grooming fees, and other expenses have led you to wonder if they should qualify as a dependent, you are not alone. A New York attorney is pushing this idea into the courtroom.

In December 2025, attorney Amanda Reynolds launched a unique lawsuit against the IRS. She argues that her golden retriever, Finnegan, should be officially recognized as a dependent for tax purposes.

This intriguing case sheds light on a persistent question among taxpayers: "Can pet expenses ever be deductible?" If not, what are the barriers?

The Legal Battle: "My Pet Qualifies as a Dependent"

In her suit, Reynolds claims Finnegan meets the criteria for a dependent because:

he resides with her full-time,
has no income, and
she provides significant financial support, exceeding $5,000 annually for essentials like food, healthcare, and daycare.

A news report highlights Reynolds' assertion: "Finnegan is essentially like a family member and therefore a ‘dependent.’"

Her case includes constitutional claims, suggesting current tax rules discriminate against pets and equate to an unfair "taking" under the Fifth Amendment.

Current Status in the Courts

Presently in the U.S. District Court for the Eastern District of New York, the case is paused as a federal magistrate judge has approved a stay of discovery, while the IRS prepares a motion to dismiss.

The court order describes the case as "novel but urgent", questioning if companion animals might qualify as "dependents"—yet the prevailing view suggests these claims are "unmeritorious."

Tax Law: Why Pets Aren’t Recognized as Dependents

The crux of the matter lies in tax law's interpretation of "dependents" as “individuals.”

According to Internal Revenue Code Section 152, dependents are "qualifying children" or "qualifying relatives," both categorized as human “individuals.”

Consequently, IRS forms don't accommodate pets as dependents. Dependents must have social security or taxpayer identification, and associated tax benefits revolve around human family and domestic relations.

Reynolds argues Finnegan fits the functional dependency criteria, but federal tax legislation doesn't classify animals as dependent "individuals."

Tax Perks Involving Animals

While routine pet expenses aren't deductible, some exceptions exist that your audience will find insightful.

1) Medical Deductions for Service Animals

Certified service animals assisting with disabilities may have associated costs classified as medical expenses if you itemize and surpass the requisite AGI threshold. The IRS outlines that these costs can be deductible.

Note: emotional support animals generally don’t qualify as service animals; the latter are trained for specific tasks related to disabilities.

2) Business Deductions for Work Animals

In some businesses, animals like:

a guard dog for security, or
animals used in pest control

might have expenses seen as necessary business deductions, requiring documented proof and genuine business use.

3) Charitable Deductions for Foster Pets

Taxpayers fostering animals for approved charities may deduct specific uncompensated costs as charitable contributions, subject to stringent documentation.

Conclusion for Tax Filers

This lawsuit spotlights an emotional truth: pets are like family for many, with associated expenses. Yet, tax law is defined by statutory criteria, not emotions.

In summary:

Pets cannot be claimed as dependents on federal returns.
Pet expenses like food, grooming, and vet care for pets are typically personal, non-deductible.
Some animal-related expenses could be deductible under narrow exceptions—service animals, business-related animals, and charitable fostering costs.

As the Reynolds case continues, it's captivating for broader societal impacts, not for instant changes in IRS policy regarding pets as dependents, but for highlighting the gap between "family" and "property" in tax codes.

The lesson here is crucial: always verify what the IRS genuinely recognizes as deductible before assumption.

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