Suit Aims to Let Americans Claim Pets as Dependents

Golden retriever Finnegan Mary Reynolds is pawing her way into the courtroom as part of a federal lawsuit challenging how the IRS treats pets during tax season. Finnegan and her owner, New York attorney Amanda Reynolds, are suing the tax agency to allow people to claim dogs, cats, and other household animals as dependents—a designation that would come with deductions and other financial benefits, according to Quartz.

Currently, the IRS classifies pets as property, but Reynolds argues that they function more like family members and meet the agency’s own criteria for dependents: they earn no income, live full-time with their owner, and cost thousands of dollars annually to care for.

Recent research cited by the Independent shows that “an increasing number of owners have begun to regard their dogs as their children.” In her lawsuit, Reynolds insists, “For all intents and purposes, Finnegan is like a daughter, and is definitely a ‘dependent,'” emphasizing that the case is “not frivolous or meritless,” per Quartz. She contends that the current rules unfairly penalize pet owners, especially since some animals—such as trained service dogs—already qualify their handlers for tax breaks. Reynolds highlights that average annual pet expenses can exceed $5,000 for food, veterinary care, boarding, and other needs.

The lawsuit also argues that pets deserve recognition as “quasi-citizens entitled to limited civil recognition,” according to Forbes. However, the court appears skeptical. Magistrate Judge James M. Wicks of the Eastern District of New York has paused discovery while the IRS prepares a motion to dismiss. Wicks also suggested that constitutional claims citing the Fifth and 14th Amendments, referenced in Reynolds’ suit, are unlikely to succeed in this case.

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