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There’s No Way That’s Tax Deductible

Feb. 15, 2013 12:17pm

What do pets, loved ones, and Goodwill donations have in common? People want to know if they can write them off on their taxes.

Seriously, according to tax preparers, tax season is riddled with oddball question regarding deductions. And it makes sense, really. I mean, who wouldn’t want to milk their deductions for everything they’re worth?

Some people “are very creative and want to see if they can outsmart the tax code,” S. Miguel Reyna, a CPA in Dallas, tells the Wall Street Journal.

“How creative?” you ask. Check out some of these examples provided by the WSJ:

How do I value a taxidermy I donated to charity? (It can involve estimating stuffing and mounting costs.) I’m putting a swimming pool in this year, I’m going to use it for exercise, can I deduct it as a medical expense? (Likely not.) What if my neighbor gives me a cow in exchange for help building a barn? (You must report the fair market value of that cow as ordinary income.)

But those, of course, are examples of some of the rarer questions people ask at this time of year. Here’s a list of the more regular “offbeat” questions tax season inspires [all block quotes via the WSJ]:

Can I claim my girlfriend or boyfriend as a dependent?

A Few Odd Things People Try To Write Off On Their Taxes

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“Boy, that one comes up so often,” Bob Meighan, vice president at Intuit‘s INTU +1.76% TurboTax, says of this question. “The answer is yes, in some cases.”

Claiming a dependent reduces your taxable income. Dependents can be family members and individuals who aren’t family members, but meet criteria.

To claim a nonrelative as a dependent, he or she had to live in your home for the full tax year and make less than $3,800 in gross income during that time. You also generally must provide more than half of the person’s financial support, and he or she can’t be claimed as a dependent by anyone else, among other criteria, says Mr. Meighan.

I left a bag of clothes at Goodwill. What’s stopping me from saying it’s worth $10,000 and deducting that amount?

A Few Odd Things People Try To Write Off On Their Taxes

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If you itemize your deductions, you may be able take the charitable deduction for donating clothes that are in good condition to thrift shops. But gauging the value of that out-of-style blouse requires help, especially since some charities leave it up to you to determine how much you’ve given.

The Salvation Army has a guide to help calculate the value of clothing, furniture and household goods at satruck.org/donation-value-guide. TurboTax also offers free estimates at ItsDeductible.com.

What’s stopping you from writing off more than the true value? The IRS has documentation rules for these kinds of donations that vary depending on their value. If an item or group of similar items donated is worth more than $5,000, you typically have to obtain, among other things, a qualified written appraisal of the item or items donated.

Can I deduct my pet?

A Few Odd Things People Try To Write Off On Their Taxes

Getty Images

Fido may feel like your child, but that doesn’t mean he’ll land you a tax break.

That said, there are rare circumstances where a pet may qualify for a tax deduction if you itemize. If your pet is a service animal for a disability that you have, the cost of buying, training and maintaining the animal may qualify as a medical expense. This typically includes vet visits, grooming and food, according to the Internal Revenue Service.

A big caveat: You can only deduct medical expenses that exceed 7.5% of your adjusted gross income in 2012. (The threshold is 10% for 2013 for most people).

What’s more, you may be able to deduct costs related to a guard dog employed by your business for protection, depending on the circumstances, according to G. Scott Haislet, a CPA and tax attorney in Lafayette, Calif.

Click here to see the full report.

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Comments (60)

1 2
  • Enchanted
    Posted on February 15, 2013 at 1:57pm

    In the late 70s before it was required for every child to have a social security number, a woman I worked with claimed BOTH of her dogs as dependents. She said she had to take them to the vet (dr.) and had to feed them so they were like her children, which she had three. So being able to take a deduction of 5 children hacks off a lot of taxes. what a crock.

    Report this comment

    Enchanted  
  • The_Cabrito_Goat
    Posted on February 15, 2013 at 1:50pm

    What about claiming your pet as a dependent?

    Report this comment

    The_Cabrito_Goat  
    • ONLY4UANDME
      Posted on February 15, 2013 at 2:21pm

      The left will push for this idea.
      Then they will breed pets same as they do kids for welfare.

      Report this comment

      ONLY4UANDME  
    • The_Cabrito_Goat
      Posted on February 15, 2013 at 3:02pm

      When a government gets this gigantic, it’s so easy to exploit it. Just saying.

      Report this comment

      The_Cabrito_Goat  
    • The_Cabrito_Goat
      Posted on February 15, 2013 at 3:04pm

      I also once knew a guy who tried to write a book about his heroin addiction, so he wrote off the methadone as “research materials” for 500$

      Report this comment

      The_Cabrito_Goat  
  • term limits for congress
    Posted on February 15, 2013 at 1:49pm

    I’ve been in trouble with the IRS for the last three years in a row (all resolved). Starting to fee like someone is watching me.

    Report this comment

    term limits for congress  
    • Fubared
      Posted on February 15, 2013 at 2:16pm

      Just because it feels that way doesn’t mean they aren’t…

      Report this comment

      Fubared  
  • oicu814me2
    Posted on February 15, 2013 at 1:42pm

    I have a home based company and every year I claim dog food for my dog because he is a guard dog. I claim pet food for my cat because it lives in my shop and is used for pest control

    Report this comment

    oicu814me2  
    • G-WHIZ
      Posted on February 16, 2013 at 9:08am

      Pest-control…Hmmmmm……does thedog keepaway your mother-in-law?? :>)

      Report this comment

      G-WHIZ  
  • dosdelgados
    Posted on February 15, 2013 at 1:41pm

    Got less than a 2% pay raise this year, but was enough to pop us up a tax bracket. So, after all is said and done, even though we “earned” more than we did in 2011, our gross take-home pay is several thousand less than 2011.

    And this is considered fairness. Idiots.

    Report this comment

    dosdelgados  
    • soybomb315_II
      Posted on February 15, 2013 at 2:36pm

      then can you ask for a pay decrease or work an hour less each week?

      Report this comment

      soybomb315_II  
    • TheBurningTruth
      Posted on February 15, 2013 at 3:56pm

      Almost certainly, you have less take home pay because Social Insecurity returned to it’s full 6.2% amount. The only way a higher bracket results in less take home pay *by itself* is if that bracket is over 100%, and it’s not.

      Don’t get me wrong, these higher and higher taxes are simply theft. It’s called the tyranny of the masses, and it works by the majority of lower paid individuals “hiring” the govt to steal from the higher paid individuals to redistribute.

      Report this comment

      TheBurningTruth  
    • dosdelgados
      Posted on February 16, 2013 at 12:54am

      Military pay, Soy.

      Report this comment

      dosdelgados  
  • moreteaplease
    Posted on February 15, 2013 at 1:19pm

    “Can I claim Obama as a dependent?”

    Report this comment

    moreteaplease  
  • AUsername
    Posted on February 15, 2013 at 1:16pm

    do i have to pay property tax on my women? lol

    Report this comment

    AUsername  
  • huey6367
    Posted on February 15, 2013 at 1:14pm

    Something occurreed to me yesterday. If the Constitution says we are guaranteed the right to life, liberty and the pursuit of happiness then paying income tax should be unconstitutional because that restricts my pursuit of happiness.

    Report this comment

    huey6367  
  • huey6367
    Posted on February 15, 2013 at 1:12pm

    Can I deduct my Social Security as I am never going to get that back as income?

    Report this comment

    huey6367  
  • Tigress1
    Posted on February 15, 2013 at 1:10pm

    When is Obama going to close the loophole of donating items to charity (Goodwill, etc.)? If he does it this year will it be retroactive for all of 2013? I’m debating whether to donate or have a garage sale. Sorry, I don’t want to simply donate for charity’s sake with the Obama economy and all. Gotta hunker down.

    Report this comment

    Tigress1  
  • banjarmon
    Posted on February 15, 2013 at 1:06pm

    People that are on food stamps are my deduction. At $500.00 for each person times millions I should get back 24 Trillion, give or take $3.00 dollars!

    Report this comment

    banjarmon  
  • taintso
    Posted on February 15, 2013 at 1:06pm

    write off the entire congress as dependents.

    Report this comment

    taintso  
  • GuruMeditation
    Posted on February 15, 2013 at 1:00pm

    Can I deduct my firearms and maintenance? It is an expense I incur to protect myself and the republic.

    Report this comment

    GuruMeditation  
  • cessna152
    Posted on February 15, 2013 at 12:48pm

    Can I write off all the poor welfare recipients that I support? I also donate to feed the hungry via food stamps, housing, car allowance,etc. I’m one generous guy and I expect a reimbursement by check immediately…

    Report this comment

    cessna152  
    • ONLY4UANDME
      Posted on February 15, 2013 at 2:26pm

      Can I write off my computer and all the hours I spend on the web as an educational expense? Sense Obama, I have been learning a whole lot on here. Just like waking up a sleeping giant. Well maybe a big fat fatty.

      Report this comment

      ONLY4UANDME  
  • Mustanger
    Posted on February 15, 2013 at 12:44pm

    Flat tax and no loopholes, that is the meaning of “fair share”. The tax form should read “How much did you earn? Send 7%”. The fed budget should read “How much did we take? Spend 90%. Save the rest.”

    Report this comment

    Mustanger  
  • gdbhusker
    Posted on February 15, 2013 at 12:39pm

    how should I start????
    the government TAKES our money… they STEAL it.. it is the greatest fleecing of our people to date. the progressive income tax SCAM that is completely unconstitutional ( as it is not apportioned) has gone on for far to long. We operated without it and do not need it.. it was the way for government to transfer the wealth of the people , to the government. there is NO law that states you have to pay income tax..NO LAW.. and yet we pay, I pay, everyone pays..and why? because we will illegally be thrown in prison and have all of our possessions confiscated if we do not COMPLY, and CONFORM . this was the first of many waves of tyranny that we allow.. in what universe is the government entitled to our EARNINGS? property, sales, excise.etc… all legal and all constitutional…..INCOME TAX IS NOT CONSTITUTIONAL!!!and the 16th amendment gave congress no new power to tax..wake up and quit this nonsense, we wouldnt have to worry abut the shenanigans of congress mis-spending everything. take the credit card away from the teenager so to speak..Constitution clearly states that your time is your private property and can be bartered for money!

    Report this comment

    gdbhusker  
    • msjoe43
      Posted on February 15, 2013 at 2:06pm

      The US government TAKES our money… they steal it… via Income taxes. We the many Taxing Americans not unhappy. The poor people rob the US government – US Welfare System (Types of Welfare Available:the type and amount of aid available to individuals and dependent children varies from state to state. When the Federal Government gave control back to the states there was no longer one source and one set of requirements. Most states offer basic aid such as health care, food stamps, child care assistance, unemployment, cash aid, and housing assistance.)
      With the US welfare system . . . individuals are abusing the welfare program by not applying for jobs, having more children just to get more aid, and staying unmarried so as to qualify for greater benefits and live in government housing.

      Report this comment

      msjoe43  
  • RaydocX
    Posted on February 15, 2013 at 12:35pm

    @Cavallo,

    spot on, sir.
    i grind my teeth every time tax season rolls around and we see the millions Obama has earned, while paying less in taxes then i have paid.

    the very ‘leaders’ who are inciting and fanning class warfare don’t practice what they preach. They hypocrisy is grating, but the obvious double standard seems lost on the sheeple, so long as they believe they are not paying anything (except for that pesky sales tax that they don’t think about).

    Report this comment

    RaydocX  
  • John.Galt
    Posted on February 15, 2013 at 12:35pm

    Considering the tax code IS OVER 70,000 PAGES… ANY question is REASONABLE!

    Report this comment

    John.Galt  
  • willbedone
    Posted on February 15, 2013 at 12:35pm

    As Roger Miller once sang “Cheat on your taxes, don’t be a fool, now what was it I said about the golden rule”.

    Report this comment

    willbedone  
  • Stoic one
    Posted on February 15, 2013 at 12:33pm

    How about a simple flat tax; from zero to infinity. No deductions, exemptions of any kind.

    Report this comment

    Stoic one  
    • Fubared
      Posted on February 15, 2013 at 1:16pm

      Then send the corpulent IRS agents to work at the border? What about the industry of accountants? Lawyers that do nothing but tax crap? Toooooo much common sense in flat tax and less 17000 pages of IRS poop, bureaucrats left without a life raft?

      Report this comment

      Fubared  
    • Walkabout
      Posted on February 15, 2013 at 6:09pm

      Fubared

      2 Decades ago I actually heard unemploying too many accountants was a very good reason not to simplify the tax code. That argument was actually made.

      They never make that argument for any other profession or industry.

      Report this comment

      Walkabout  
  • Walkabout
    Posted on February 15, 2013 at 12:33pm

    “I left a bag of clothes at Goodwill. What’s stopping me from saying it’s worth $10,000 and deducting that amount”

    Clinton got busted in the conservative media for something like this. He donated underpants & value them at $3 a piece if I remember.

    Shortly thereafter a Republican Congress put caps on donations of clothing closing the CLinton loophole.

    Report this comment

    Walkabout  
  • Cavallo
    Posted on February 15, 2013 at 12:25pm

    Flat Tax. No class distinctions. No deductions.

    Report this comment

    Cavallo  
    • EVANROOD
      Posted on February 15, 2013 at 12:38pm

      Yeah, but then all of those IRS agents will have nothing better to do than hang around your doctors office!

      Report this comment

      EVANROOD  
  • Just_Us2
    Posted on February 15, 2013 at 12:23pm

    Can I claim the federal government as a dependent?

    Report this comment

    Just_Us2  
  • RJJinGadsden
    Posted on February 15, 2013 at 12:23pm

    Can you deduct all of these fools?
    http://www.youtube.com/watch?v=A6Pvu7yEnK8

    Report this comment

    RJJinGadsden  
  • The_Jerk
    Posted on February 15, 2013 at 12:23pm

    When you are cheating a thief, you are the hero.

    Report this comment

    The_Jerk  
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