Tax Breaks for Pets in 2025: What You Need to Know

Are you a pet parent looking for potential tax breaks? While the IRS doesn't give out tax credits for your pets, there are some circumstances where pet-related expenses can be deductible. Whether your pet is a service animal, helping with a business, or fostering animals for a nonprofit, there may be opportunities to reduce your tax bill. Let’s explore how you might be able to claim tax breaks related to your pets in 2025!

Service Animals and Medical Expenses

If your pet is a certified service animal that helps with a medical condition, you may be able to deduct the costs associated with owning and maintaining the animal. This includes expenses such as:

• Purchase or adoption cost

• Training

• Veterinary care

• Food and grooming

You can claim these expenses as medical costs, but they must be part of your total medical expenses and exceed 7.5% of your adjusted gross income (AGI). So, if you have high medical expenses, this could be a helpful deduction!

Pets for Business Use

Pets that are part of your business operations can also potentially bring you tax savings. For example, if your pet serves as a guard dog for your business or is used in some other capacity for business purposes, the IRS might allow you to deduct related expenses.

These deductible costs can include:

• Food and supplies

• Veterinary bills

• Grooming

• Training

If your pet directly contributes to your income-producing activities, it's worth consulting with a tax professional to see if these expenses can be classified as business deductions.

Foster Pets and Charitable Contributions

If you're a foster parent for animals, you might be able to claim tax deductions for expenses related to their care. To qualify, you need to be fostering animals through a registered 501(c)(3) nonprofit organization. The expenses that may be deductible include:

• Food

• Veterinary care

• Supplies

• Mileage for trips related to fostering

These deductions would be considered charitable contributions, so make sure to keep track of receipts and confirm the organization’s nonprofit status.

Income-Generating Pets

Believe it or not, some pets can actually earn money! If your pet participates in income-generating activities such as modeling, acting, or social media influencing, you may be able to claim tax breaks for the expenses related to these activities. Deductions could include:

• Food and supplies

• Grooming

• Veterinary bills

Essentially, if your pet is part of a business endeavor, its expenses could qualify as business expenses that can reduce your taxable income.

Keep Good Records

Whether you’re claiming expenses for a service animal, a business pet, or fostering animals, the key to a successful deduction is keeping accurate records. Hold on to receipts for food, grooming, veterinary care, and any other related expenses. If your pet is involved in business or charity work, document the time and activities as well.

This is where working with professionals can really make a difference. Services like Dogs On The Run can help you keep your pet-related expenses organized. By logging into your account at www.DogsOnTheRun.com, you can easily access and download your invoices for any pet-related services, making it simpler to track and claim your deductions. With accurate records, you’ll be in a strong position when tax time comes around.

Consult a Tax Professional

Tax rules around pets can be tricky, and what applies to one person may not apply to another. To ensure you’re following the tax laws correctly and to maximize your potential deductions, it’s a good idea to work with a tax professional. They can guide you through the process and ensure you're making the most out of your pet-related expenses.

While there’s no blanket pet tax credit for every pet parent, there are certainly opportunities to deduct pet-related expenses if certain conditions are met. Whether your pet is a service animal, part of your business, or helping a nonprofit organization, these deductions could offer some savings on your 2025 taxes.

Make sure to keep thorough records, consult a tax expert, and look into any tax breaks available for your specific situation. With the help of tools like Dogs On The Run, managing your pet's records and services is easier than ever—putting you on track for tax time success!