[romber222]

Hi everyone,

My name's Rob, and my wife and I are starting to go through the domestic adoption process, and I'm having questions about the adoption tax credit. I just got off the phone with the IRS, and they seemed just as confused as I did.

I seem to understand what happens in a failed attempt, but what about expenses in a year before connecting with a birth mother?

We started the adoption process with our attorney in the fall of 2004, and have spent about $5000 on qualified adoption related expenses, but have not yet connected with a potential birth mother.

1). Can we take that amount in a credit on our 2004 return, or do we have to wait until the 2005 return when we (hopefully) will have finalized an adoption?

2). Assuming the worst, and in 2005 we spend all our resources to adopt, but we aren't able to join up with a birth mother, can we take the full credit on our 2005 taxes? The form seems to require the child's name and Identification number.

Thanks for listening, and good luck to everyone.

Rob Amberson