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I think the answer probably varies by state, Oceans. But I think most PAPs know that if they expend the money, they more than likely won't "recoup" it (even if they go thru an agency and there is no adoption). I don't know whether these expenses can be claimed on a tax return, but I think they can (though the credit has its limits, etc.)
With our agency, the agency only is the one to pay expenses. With DD's birth parents, they "refused" expenses (I think because they thought they came out of our pocket) until I told them that they shouldn't (I don't know all the details, but I think the agency paid rent for a couple of months and maybe some lost wages). As much as I didn't like my agency, I did like the fact that we only paid them post-placement. I always feel "weary" when I hear about early "matches" that involve expenses.
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