Through this adoption tax credit you may get up to $11,000 of the money you spent in the adoption process returned to you. This adoption tax credit
is better than a tax deduction since it is based on after tax money. The adoption tax credit is available in the year the adoption is finalized. The adoption tax credit does have an income
phase-out depending on your level of income. The Federal adoption tax credit is part of the Economic
Growth and Tax Relief Reconciliation Act of 2001. It is advised you check with your attorney and/or your accountant on this adoption tax credit. Also visit the link Federal
Adoption Tax Credit for Special Needs Adoption.
The link Tax
Benefits for Adoption from the U.S. government website is helpful. |
