Are monthly stipends for a disabled child that was adopted counted as nontaxable income?

hirevn67 · ‎February 9, 2025

LindaS5247 · ‎February 9, 2025

Monthly stipends for adopted children are not taxable income. The IRS has ruled that adoption assistance benefits are not included in the taxable income of the adoptive parents.

However, any expenses paid by the stipend can not be included for purposes of claiming the adoption credit.

Click here for information on the Adoption Tax Credit for 2024-2025.

Click here for additional information on the Adoption Credit.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

Expert does your taxes

Do it yourself

Resources

Support

Are monthly stipends for a disabled child that was adopted counted as nontaxable income?