Attorney Amanda Reynolds is suing the IRS to get pets classified as legal dependents, a change that would have some tax benefits for pet owners. Reynolds is arguing that her golden retriever, Finnegan, relies entirely on her for food, shelter, medical care, training, transportation and more. Since the 8-year-old pooch has no independent income, resides exclusively with Reynolds, and has annual expenses exceeding $5,000, Reynolds argued that Finnegan meets all the requirements for a legal human dependent under IRS rules. While the IRS defines pets as “property,” Reynolds said that doesn’t reflect Finnegan’s role in her household. “For all intents and purposes, Finnegan is like my daughter, and is definitely a ‘dependent,’” the case reads, noting that while the subject may seem unusual, it's “not frivolous or meritless.” Reynolds goes on to argue that not classifying all pets as dependents is an unfair burden to taxpayers, especially since the IRS says that some pets – namely service animals – can qualify for tax advantages. Claiming a dependent can result in tax-favored credits and deductions, but there isn’t any language in case law or statutes that would allow pet owners to claim those tax breaks. While pets have a special place in many households, the case seems unlikely to move forward, and the IRS is expected to file a motion to dismiss.
