Tax law isn’t sexy, but it is full of absolutely bizarre, totally legal loopholes that feel like they were written during a fever dream. We’re talking alpacas as write-offs, breast implants as business expenses, and goats lowering property taxes. The tax code is thousands of pages long, and hidden between the fine print is a strange little world where creativity meets deduction.
Some of these hacks are fringe. Some are genius. All of them are 100% legal—and just weird enough to make you wonder who thought of them first (and why the IRS didn’t stop them).
1. Writing Off A Swimming Pool As A Medical Expense
Yes, this has happened. If your doctor recommends a swimming pool for a medical condition—say, arthritis or back pain—you can technically deduct part of the installation cost as a medical expense. The pool must be used primarily for health reasons, and the deduction applies only to the amount that exceeds the increase in your property value.
It’s niche, but real. In one famous case, a man successfully deducted his backyard pool after proving it was prescribed for therapeutic exercise. So no, your summer splashes don’t count—but your doctor-ordered water therapy? That’s tax-code-approved luxury.
2. Claiming Breast Implants As A Business Expense
According to the Los Angeles Times, a stripper in California once deducted the cost of her breast implants as a “stage prop”—and the IRS allowed it. The court agreed they were essential to her income, classifying them as a business expense, not a personal one. This precedent opened the door for other performance-based enhancements to be considered deductible.
It’s a rare win for the bizarre side of the tax code. Of course, it only works if the expense is directly tied to income generation and not just for personal benefit. Still, it’s proof the IRS has seen things—and sometimes, they shrug and say “sure.”
3. Letting Goats Graze To Slash Your Property Taxes
In parts of the U.S., using your land for agricultural purposes can dramatically reduce your property taxes, as noted by George Mason University. And yes, having a few goats roam your backyard may qualify. Several states, including Texas and California, have “ag use” exemptions that lower taxes if you can prove agricultural activity.
That’s why some landowners rent goats to graze just long enough to qualify. It’s legal, it’s old-school, and it’s wildly effective. You’re not just feeding animals—you’re feeding the loophole. And your tax bill thanks you.
4. Deducting A Clarinet For Your Kid’s Overbite
This one sounds fake, but it’s not. As explained by USA Today, the IRS once approved a deduction for a clarinet and music lessons as a medical expense, because it helped correct a child’s overbite. According to an orthodontist, playing the instrument improved jaw alignment, and boom: tax deduction.
It’s a stretch, but it passed. If a doctor prescribes a certain activity or item for medical reasons, it can sometimes slip into the deduction zone. In this case, the clarinet wasn’t just music—it was dental therapy in disguise.
5. Claiming A Yacht As A Second Home (Seriously)
If your boat has sleeping quarters, a toilet, and a kitchen, the IRS may consider it a second home. That means you could deduct mortgage interest just like you would on a cabin or condo. It applies to houseboats, yachts, and even RVs—as long as they meet basic living standards.
It’s a favorite among the wealthy, but technically available to anyone who finances a qualifying vessel. So yes, your floating vacation home could also float your tax return. Luxury, but make it deductible.
6. Writing Off Your Pet (Sort Of)
You can’t claim your dog as a dependent—no matter how much they feel like family. But if your pet serves a legitimate business purpose, like guarding your inventory or starring in your online brand, you may be able to deduct their expenses. Food, vet bills, even training—if it’s for business, it might qualify.
Some influencers have even deducted expenses for their “petfluencers,” with IRS blessing. The key is proving the animal’s role in income generation. If your cat has more followers than you and helps sell merch? The IRS might actually be cool with it.
7. Turning A Hobby Into A Business For Deductions
The line between “hobby” and “business” is thinner than you think—and crossing it means tax write-offs galore. If you turn your passion (like pottery, baking, or candle-making) into an official business, you can deduct supplies, equipment, and even a portion of your home workspace.
The catch? You need to show an intention to make a profit, even if you’re not successful yet. Suddenly, that Etsy shop isn’t just cute—it’s strategic. And every trip to Michaels becomes a business expense.
8. Renting Your Home To Yourself For 14 Days
There’s a loophole called the “Augusta Rule,” named after the golf town where wealthy homeowners would rent their houses out during tournaments. Under IRS rules, if you rent out your personal residence for fewer than 15 days per year, you don’t have to report that income at all. That’s right—up to two weeks of tax-free rental cash.
Some business owners use this by having their LLC “rent” their home for meetings or content shoots. As long as it’s documented and market-rate, it’s legal. You’re literally paying yourself—and the IRS doesn’t blink.
9. Deducting Cat Food For Pest Control
In one strange case, a junkyard owner successfully deducted the cost of cat food—because the cats were used to control rats and protect inventory. The IRS accepted the logic: the cats served a business function, and their upkeep was necessary.
This isn’t your average pet deduction—it’s pest control via purring. If your animal genuinely provides a work-related service, the IRS might just meow in agreement. But documentation is key. And probably a few photos of the cats “on duty.”
10. Hiring Your Kids To Cut Your Tax Bill
Business owners can legally hire their minor children and pay them up to $13,850 (as of 2023) without that income being subject to federal tax. You deduct the wages as a business expense, and the child pays little to no tax, depending on the amount.
It’s perfectly legal and often used by entrepreneurs to shift income within the family. The trick is making sure the job is real and age-appropriate—think filing, social media, and packing products. The IRS loves a family business, as long as the math adds up.
11. Hosting A Foreign Exchange Student For A Deduction
If you host a student from another country through a qualified nonprofit program, you can deduct up to $50 per month in related expenses—no receipts required. That doesn’t sound like much, but it adds up over a full school year.
It’s one of the few deductions where the IRS gives you a flat-rate allowance just for being generous. You’re helping someone, creating global goodwill, and quietly shaving down your taxable income. Altruism meets line-item deduction.
12. Writing Off Cosmetic Surgery—If You’re A Performer
Not all cosmetic procedures are tax-deductible, but under the right conditions, some are. A Las Vegas showgirl once deducted the cost of dramatic stage-enhancing surgery, and the court sided with her. Because the surgery was deemed essential to her career persona, it became a business expense.
This is an extremely gray area, but if you can prove the procedure is directly tied to income and not personal enhancement, you might have a case. Just be prepared for scrutiny. And maybe a full IRS deep dive into your selfie archive.
13. Moving To A No-Income-Tax State Just Before Cashing Out
This isn’t a loophole so much as a relocation strategy—but it’s become wildly popular among the ultra-wealthy. States like Florida, Texas, and Nevada have no state income tax. If you move there and establish residency before selling a company, cashing out stocks, or receiving a big payout, you could save millions in state taxes.
Of course, you have to actually live there for it to count—no fake addresses allowed. But for those planning a big financial event, the timing and geography of your zip code can make a jaw-dropping difference. It’s tax optimization by U-Haul. And it works.
This article is for informational purposes only and should not be construed as financial advice. Consult a financial professional before making investment or other financial decisions. The author and publisher make no warranties of any kind.
