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DH and I did spend some money in 2004 towards our adoption. Initial fees, etc.
My question is can we claim that money on this year's taxes towards the adoption tax credit?? :confused:
We have not yet been matched with a baby and for some reason I thought that we could not claim anything on the adoption tax credit until the year of finalization??!!
Help me understand please!!
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But the total tax credit for the entire same adoption would still only be able to add up to 10,000 - so if you took 10,000worth this year, you couldn't use the tax credit again next year.
I am guessing yes for two reasons 1) I believe I found that answer last year when I started doing research and thought we would be doing domestic adoption and 2) my husband is doing our taxes tonight using turbo tax. They ask you questions and he asked me out loud "do we have qualified expenses for an adoption that is not completed yet?" I told him no because we are doing international, but that for domestic we could indeed start claiming some of those expenses.
I would use a tax software or consult an accountant, but I am pretty sure you won't "lose" the amount you can credit even if you decide to do it all together after finalization.
I am not an accountant.
Good luck!
D.
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