[rapf777]

Can you still write off adoption expenses? I know the first year you get a credit....but I thought I heard you can write off the expenses up to 3 years. Can anyone help us with this please. DH is doing taxes and I brought this up about the expenses...so we decided to have a little "friendly" bet. Who is right...I say you can write is off up to 3 years not to exceed 33,000. He says only tax credit and thats it.

[susy...patience]

Hate to say it but he wins..
My understanding is only one credit (about $11K and change)....per completed intl adoption. No other write off of expenses. Some people have to go over several years to take all credit due to owing little tax. Rules are different for domestic adoption -- there credit allowed for failed adoptions also.

To really check out answer, go to Internal Revenue Service and do search for "adoption"

[DianeS]

Well, you are both right. There is the adoption tax credit, which is about $11,000 credit against your tax liability. Then, because most people don't have $11,000 worth of tax liability in one year, the IRS allows you to use as much of that credit as you can in one year, and roll any unused credit over to the next year, and to keep rolling it over for up to five total years.

But there is no federal recourse for getting back any money you spent over the amount of the tax credit. (Some states may have state tax credits, some companies have reimbursement programs, etc, but I think your question is limited to federal taxes, so that's what I'm addressing.)

So like I said, you're both right. There is only the adoption tax credit For around $11,000, but it does roll over up to 5 years.