[sak9645]

Expenses incurred are not "deductible". However, the adoption tax credit is based on the amount of qualifying adoption expenses you incur. Since the fees incurred during most international adoptions exceed $10,000, you will be able to take the full tax credit if you qualify on other grounds, such as income and the year you brought your child home. If your adoption did not involve fees of at least $10,000, you could claim the credit only up to the amount of fees incurred, except in the case of domestic special needs adoptions. Congress allowed people adopting children with special needs domestically to take the full credit (as long as the qualify on other grounds) even if they did not incur many qualifying adoption expenses


Sharon