All Bark, No Bite: The Shortcomings of Tax Expenditures to Remedy the Animal Shelter Crisis

Throughout the United States, animal shelters have become increasingly overpopulated because of a rise in surrenders, fueled by macroeconomic inflation and housing scarcity, and a decline in adoptions. Consequently, euthanasia rates for dogs and cats have skyrocketed. In response to this issue, at least five states have introduced and considered bills over the past ten years that would incentivize the adoption of dogs and cats from shelters using tax credits or deductions, with New York being the most recent in 2025. The issue with this approach, however, lies in the multifaceted nature of the overpopulation and euthanasia crisis, and the difficulty in solving the issue through individual taxpayer behavior. This Note argues that, as currently proposed, the use of tax credits to encourage adoption would be unsuccessful given it fails to address the continuing costs of ownership that have caused an increase in surrenders. This Note instead suggests that a refundable tax credit would be the most viable pathway to a lasting solution of any tax expenditure, but that ultimately targeted direct spending, not tax expenditures, is the proper means of bringing about substantive change.