ADOPTION CREDIT

An adoption credit is a tax credit that can be deducted as an expense that was incurred for the legal adoption of a child. You can deduct up to $10,160 per eligible child for expenses such as adoption fees, court costs, travel costs, attorney fees, and other directly related adoption expenses. However, this tax is not eligible for the adoption of your spouse's child.

Adoption credit is available for the adoption of children who are younger than 18 at the date of adoption, or who are physically or mentally incapable of self care. Also, for households that have an adjusted gross income of over $152,390, the tax credit on adoption expenses lessens.

NOTE: The adoption must be finalized before writing off your adoption expenses.