H.R. 2965: Adoption Tax Credit Refundability Act

You can find HR 2965 here.

“A bipartisan bill designed to make adoption more affordable has been introduced in Congress.

The Adoption Tax Credit Refundability Act would make the current adoption tax credit fully refundable. Currently, there is a federal adoption tax credit of up to $14,080 per child but it is non-refundable, meaning taxpayers can only use it if they owe federal taxes.

The bill was introduced by U.S. Sens. Roy Blount, R-Missouri, Bob Casey, D-Pennsylvania, and James Inhofe, R-Oklahoma.

“Over 100,000 children are waiting for adoption into a family who can give them the loving home they deserve,” Blunt said. “This bipartisan bill will restore the refundability portion of the tax credit to make adoption more affordable for hardworking families.”

The Senators cited Department of Health and Human Services’ statistics that showed about one-third of all adopted children live in families with annual household incomes of at or below 200 percent of the poverty level. Nearly 46 of children adopted from foster care live in families with incomes at or below 200 percent of the federal poverty level.

The adoption tax credit was made permanent in the American Taxpayer Relief Act in January 2013. However, that law did not extend the refundability portion that applied to the adoption tax credit in 2010 and 2011. Many of these families’ income taxes are so low, Senators said, they cannot benefit from the adoption tax credit at all unless it is refundable.

The legislation has been endorsed by the Adoption Tax Credit Working Group Executive Committee, which is comprised of 150 organizations.”

Bill would make adoptions more affordable

[Alabama 6/12/19 by Leada Gore]

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