If you’re a business owner, you may be able to deduct “ordinary and necessary” expenses related to keeping working animals. But the operative word here is “working,” for example, dogs that guard against illegal entry or cats that protect inventory from rodents. In general, such expenses as food, veterinary bills, pet insurance premiums and related supplies are deductible. But if an animal is a part-time worker and part-time personal pet, you typically can deduct only the percentage of expenses that correspond to the animal’s working time. Be sure to keep excellent records, and talk to us about whether you’re eligible to claim animal-related expenses as a business deduction.
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