Did you know that you can deduct your pet transport expenses?
Moving involves a lot of planning and Pet shipping expenses can add up and we know that for most of you, leaving a pet behind is not an option, so it’s nice that you can write off most of the expense come tax time. Leaving a pet behind is a heartbreaking experience for everyone involved, so we hope that it’s only considered when all other options have been denied. Back to the good news!According to IRS publication 521, you can deduct the cost of shipping your household pets (including dogs, cats, birds, fish, etc.) to your new home.
If the relocation is job related and you meet a few requirements regarding the distance and time of the move you will be able to deduct all pet transport costs. The other nice thing about this deduction is that it is an “above the line” deduction which means it is taken before your AGI (adjusted gross income) is calculated instead of after which is the case for most deductions. It also means that these pet shipping deductions apply whether you itemize or not. Because they work this way, above-the-line deductions are generally looked at as very advantageous for you, the tax payer. Very nice!
With several military bases in Hawaii, we handle many military pet relocation clients each year and the requirements for this deduction can be more flexible for active military personnel. If you are a member of the US military on active duty and you must relocate due to a PCS, (permanent change of station), you do not have to meet the same tests. You can deduct your unreimbursed moving expenses on Form 3903. Again, every situation is different, so check with your tax advisor.
We believe this information to be accurate, but we are not tax professionals and tax laws change from time to time. Please double check with your tax advisor to make sure you meet the few job related requirements to get the deduction.
You can read more about moving and pet transport expense deductions and find out if you qualify here.