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January 19, 2026

Pet Dependency Battle: A Lawyer's Unusual Tax Claim

If you've ever reviewed your pet’s yearly medical bills, grooming costs, daycare, and specialty diets, you might have thought, “My pet could be considered my dependent.” You're not alone. One lawyer is actually taking this argument to federal court.

In December 2025, New York attorney Amanda Reynolds filed a lawsuit against the IRS, seeking to classify her golden retriever, Finnegan, as a dependent for federal tax purposes.

Though the case might seem unusual or even surreal, it raises a question many pet owners ponder: Are pet expenses tax-deductible? If not, why?

Here's an overview of the lawsuit, current tax laws, and situations where the IRS allows animal-related tax benefits.

The Unique Lawsuit: “My Dog Qualifies as a Dependent”

Reynolds argues that Finnegan meets IRS dependent criteria because:

he resides with her full-time,
lacks personal income, and
she covers more than half of his support, exceeding $5,000 annually in expenses for food, medical care, and daycare.

A national news report quotes Reynolds stating, “For all intents and purposes, Finnegan is like a daughter and definitely a ‘dependent,’” in her legal complaint.

Additionally, she claims constitutional violations, arguing that the current rules discriminate against dependents based on “species” (an Equal Protection argument) and that failing to recognize pets for tax purposes is an unjust “taking” (a Fifth Amendment argument).

Current Status of the Case

The case is with the U.S. District Court for the Eastern District of New York. A federal magistrate judge has paused discovery while the IRS readies a dismissal motion.

The court’s ruling labels the lawsuit an “interesting but complicated question” on whether pets should be considered dependents under tax regulations. The judge, however, indicates significant hurdles, noting the claims seem “unfounded on their face” and unlikely to withstand dismissal.

In sum, the lawsuit is real and evolving, yet the court expresses doubts about its success.

Why Pets Aren't Federal Tax Dependents

The core issue: tax laws define dependents as “individuals.”

According to the Internal Revenue Code Section 152, a dependent is either a “qualifying child” or “qualifying relative,” and the word “individual” traditionally means a human person.

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Thus, IRS forms and rules lack the infrastructure to list pets as dependents, based around individuals having Social Security numbers or equivalent taxpayer IDs, with tax benefits focused on human family and household dynamics.

So, even if Reynolds argues Finnegan meets the functional dependency criteria (no income, residency, support), the tax code does not acknowledge non-human dependent “individuals.”

Possible Tax Deductions for Animals

Even if routine pet costs aren't deductible, exceptions exist. This is the section readers value for practical tax advice.

1) Service Animal Medical Deductions

Trained service animals aiding disabilities can enable some expenses to be treated as medical deductions under itemized deductions if they exceed the AGI threshold. For details, see the IRS—costs for obtaining, training, and upkeeping service animals may qualify.

Heads up: Emotional support animals usually don’t qualify as service animals; service animals must perform specific disability-related tasks.

2) Business Use of Animals

Animals can sometimes be considered business assets—a guard dog for security or animals handling pest control in business can relate costs as ordinary business expenses (documentation and genuine business purposes are crucial).

This is a rare category where IRS-approved tax breaks apply to animals.

3) Charitable Deductions for Foster Animals

Those fostering animals for qualified organizations may deduct unreimbursed costs as charitable contributions, following strict guidelines and record-keeping.

Conclusion for Taxpayers

The lawsuit underlines a relatable truth: pets are family to many Americans, incurring substantial costs. But tax law emphasizes statutes, not emotions.

Dogs or cats cannot be dependents on your tax return.
Regular pet expenses (such as pet food, grooming, and veterinary care for common household pets) aren't deductible.
Certain animal-related expenses are deductible only in specific cases—like with service animals, business animals, or foster-related charities.

This lawsuit is noteworthy, not because the IRS will soon issue dependent IDs for dogs, but because it highlights a shift in pet dependency and tax policy's distinction between “family” and “property.”

And, as a reminder: before claiming a deduction, it's wise to verify what the IRS officially recognizes—and what it doesn’t.

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