[Katelyn's Mom]

Hi everyone,

I'm a little confused about the adoption tax credit. I realize that it is $10,000. Do you actually receive an income tax refund for $10,000 or is the 10K just a tax deduct. I guess I was thinking that I would receive the money back in a tax return. Do you receive any more money back in a return as opposed to other years?

You can see where this is headed...I'm looking for money, LOL!

TIA for any help!

[Reminator]

Yes, you get 10,000.00 back, but you probably won't get it all back the first year. It's a credit that's applied to your taxes that are owed. I heard somewhere that there's a bill to increase the credit to $15,000.00. Wouldn't that be nice!?

[Hopingsoon]

I was told at one of our homestudy seminars that it is $10K cash back if your income is under a certain amount (which I believe to be around $150,000 yearly for a married couple).

[DD Amasa]

You do have to have paid $10K in taxes in order to get $10K back. But it can be spread over five years.

[Mindybeth6]

You do have to pay in that much to get back that much. And in certain cases, like ours, it does us no good because we already get back everything we pay in anyway. We have a lot of other deductions for school and other stuff. So we do not benefit at all. It's such a shame and so annoying. We are hoping that when I start working after I graduate that we will then be able to benefit from it. Since then we will have two household incomes.
GOod luck.