Hi @Katie-P,
WOW! Thank you very much for your quick response. I do have a couple of follow-up questions please.
In reference to your response to # 4, my wife and I received W2 from our employer. In addition to the regular tax withholding, we both have additional tax withheld from our paychecks to avoid a larger tax bill at filing. That said, would it be advisable to discontinue additional withholding to create a larger tax bill? The thought is the adoption credit would offset any tax due at the time of filing. In short, my preference would be to get the credit sooner and not have it carried forward into later years.
Will the following classify as qualified adoption expenses? There isn’t much info on these expenses at the IRS site.
- Adoption consulting fee (a fee paid to a pro adoption consultant)
- Travel cost to see adoption consultant, ticket cost to attend a retreat offered by the consultancy agency. Retreat focused on adoption related education and live panels with birthmother, therapists, and other topics related to adoption.
- Home study related expenses such as state background checks, fingerprinting, Medical/Lab test fees.
- Fees related to educational courses which are often a prerequisite for applying with an adoption agency.
- Fees from multiple adoption agencies. For example, we are currently active with three agencies that will send us situations as appropriate.
- Fees to renew home study.
Thank you!
