I know that this tip is a little late for tax day this year, but this is something definitely to consider for next year. A friend passed along this article about how a landmark 2011 U.S. tax court decision allows deductions for fostering dogs and cats.
“In Jan Van Dusen v. Commissioner, an Oakland-based cat lady successfully argued that the expense of caring for dozens of stray felines for a local rescue group should be deductible as a charitable contribution.
Any unreimbursed expenses, such as food or medical bills, have to be directly related to animal care, said Richard Panick, a spokesman for the IRS.”
Keeping your receipts is key, and if you claim more than $250 you will need a verification letter from the 501(c)3 organization.
Also good to note for those who raise puppies for service dog organizations, they also qualify for itemized deductions.
And while adoption fees aren’t deductible, if you offer a larger donation than just the adoption fee, that “extra tip” is deductible.
See other pet-related deductibles in this article.