A Tax Break for Pet Owners?

Yvonne sent me an interesting piece of information yesterday about pending health care legislation in Congress. The interesting part is that it involves pet health, not human health

A Michigan Congressman; Thaddeus McCotter has introduced H.R. 3501 to amend the 1986 IRS code to allow a tax deduction for pet care expenses. The act, called "The Humanity and Pets Partnered Through the Years," or HAPPY for short, would allow owners to deduct up to $3500 a year from their taxable income for qualified pet care expenses. That means that you would pay taxes on up to $3500 fewer dollars a year which could reduce your taxes by hundreds of dollars depending on your individual situation.

As I mentioned, Congressman McCotter is from Michigan and Michigan is feeling the brunt of the economic downturn much harder than most other states. Unemployment in Michigan is higher than in most parts of the country as laid off auto workers and related suppliers deal with low demand for new cars. The economic stimulus package and "cash for clunkers" has helped in Michigan but things are still tough. 

 

This proposed legislation is in response to the difficulties many cash strapped pet owners are having taking proper care of their pets. Some folks are having to give up their family pets because they can no longer afford to pay for their care.

Only family pets would qualify and the eligible expenses must be related to animal care. That would include veterinary fees for sure but I'm a little unclear about what else would qualify. Expenses related to the acquisition of the pet are excluded but it looks like most other care expenses are included.

 

The bill clearly states that veterinary expenses are covered but I can't figure out if monthly pet health insurance premiums would qualify. The existing definition is pretty broad. It sounds like expenses for pet food, doggy day care and pretty much anything related to "care" would be eligible. I called the Congressman's DC office and his staffer was unable to further define "eligible expenses" for me.

 

In any event, this bill looks like something worthy of the support of pet owners. If the prospect of a lower tax bill helps someone decide that they can afford good veterinary care, I'm all for it.

 

If you'd like to weigh in you could call or e-mail your own congress critter and ask them to support H.R. 3501. In fact you can go to the ASPCA web site and they have an e-mail all ready for you to sign and forward on to your own congressman.

 

We'll be keeping an eye on this one and if I can get any more detail on eligible expenses I'll post about that.  

Comments

[Holly Cowan]

WOW! Could I use this legislation! I have 15 cats and 4 kittens, all who have been strays that came to our home. Even if it only covered vet bills it would be a help. All of our cats get spayed/neutered and vetted and I know our yearly expenses at the vet are over $3,500. Please pass the info along and go to the website of the ASPCA to send out emails.
Thanks!!!