The exceptions
- Guard dogs: If you have a guard dog that protects your business premises (junkyard, warehouse, farm), the costs of keeping that dog (food, vet care, training) may be deductible. The dog must serve a clear security function at a business location.
- Business animals: Farm animals are deductible as business expenses. A therapy animal used in a licensed therapy practice may qualify. Animals in a pet business (breeder, trainer, boarding facility) are obviously business expenses.
- Service animals: Costs of maintaining a service animal prescribed for a medical condition can qualify as a medical expense (subject to 7.5% AGI threshold on Schedule A).
What about pet influencers?
If your pet is genuinely the subject of a profitable business (Instagram pet account, YouTube channel, merchandise), the expenses related to creating content may be deductible as business expenses. But this requires actual business income and activity, not just a hope that your cat goes viral.
Moving with pets
Even when the moving expense deduction was available (pre-2018), pet transportation costs were specifically excluded. The IRS does not consider pets as household goods.
IRS Reference
Pets are personal property under IRC Section 262. Guard dogs: case law (see Samuel Klein, TC Memo 1970-11). Service animals: IRS Publication 502 (Medical and Dental Expenses).
Pets are personal property under IRC Section 262. Guard dogs: case law (see Samuel Klein, TC Memo 1970-11). Service animals: IRS Publication 502 (Medical and Dental Expenses).
Separate business from personal
Hivebooks helps you keep business and personal expenses clearly separated so you only claim legitimate deductions.
Try Hivebooks Free →