Making Adoption Costs Deductible?

There is already a federal adoption tax credit of up to $10,400 for reimbursement of adoption related expenses. I'll take a credit over a deduction any day!

Unless you can do both! LOL Janet

First of all, there isn't a way to deduct your expenses toward adopting a child as a 'business expense'. You're not running a business. TANSTAFFL, folks. You could consider incorporating yourselves as a licensed non-profit child placing agency, and therefore deduct expenses as a 501 (c)(3), however the expenses and time involved in doing this would far exceed any potential 'benefit'. Besides, why should you ask other citizens (fellow taxpayers) to pay for your private adoption? Isn't it enough that we as a taxpaying body agree to give you 'free money' in the form of a credit on taxes that would otherwise be collected? If you really want an adoption paid through tax funds (yours and other citizens'), seek a foster care/waiting child adoption where your expenses are paid by yourself and fellow taxpayers through your federal, state and local tax funds. IMHO, Regina, AMom to Ryan Joshua Thomas

Regina, Not trying to cause trouble...it was just something I had heard about and since we do have a small business I didn't want to miss out on something if it's available. It seemed strange especially with the fed. tax credit. What I'm finding is this may have been changed when that credit was developed. Janet

I don't know if this applies, but I came across The Lalka Foundation -- (610) 694-9211, which offers grants and assistance to parents who would like to fundraise through a tax-deductible entity for the purpose of saving funds for adoption. I haven't looked into it, but it sounds like an interesting idea.