Expenses paid in 2002; adoption not final til 2003 - when to claim?

January 5, 2003

My husband and I were matched in Aug 2002 and our baby boy was born on December 10th. 90% of our expenses have been paid in 2002, but the adoption will not be finalized until sometime this summer.

Can I claim what I've already paid out in 2002 on this year's taxes or can I only claim the expenses in the year's taxes that the adoption was finalized?

Thanks,

Karen

Leah@Mandala

January 5, 2003

Hi Karen,

The credit for domestic adoptions can be claimed the year following the year in which you paid the expenses, or when you finalize (if that is different). International adoption credit is taken the year you finalize the adoption.

Hope this helps!

Leah