January 2, 2013 – Alexandria, VA – Late Tuesday night,
Congress passed the American Taxpayer Relief Act which will become law upon President Obama’s signature. Amongst the provisions of this Act was an extension of the adoption tax credit.
Complete details of implementation are still to be seen, but the bill permanently extends the adoption tax credit which is set at $10,000, but may once again be scaled for inflation, potentially bringing it to near the 2012 amount of $12,650. Families with incomes under $150,000 will receive the full credit and it will gradually phase out for higher incomes.
“Congress is to be commended for remembering children and families as a priority. The adoption tax credit is an important layer of support for families who adopt. The credit helps ensure children find their way to safe, stable, loving, and permanent families” says Megan Lindsey of National Council For Adoption. “We are grateful to Congress, the Obama administration, and our many partnering advocates in the Save the Adoption Tax Credit Working Group for their tireless efforts on behalf of this important credit.”
The complete language of the American Taxpayer Relief Act is available here.