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Level 1
June 1, 2019
Question

Adoption expenses incurred 2016. Adoption finalized Jan. 2017. Does this mean tax credit cannot be claimed until 2018? What tax breaks would we have for this year?

  • June 1, 2019
  • 1 reply
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    1 reply

    Critter
    Level 15
    June 1, 2019

    It is kind of funky how it works ... but the expenses paid in 2016 cannot be taken on the 2016 return because the adoption was not final in 2016. There is a delay feature ... but since the adoption will be final in 2017, the 2016 costs + any incurred in 2017 will all be deductible on the 2017 return filed in early 2018.