Adoption Expense Tax Exclusion

Adoption Expense Tax Exclusion: In the same legislation that created the Federal Adoption Expense Tax Credit, the Internal Revenue Code was also amended to allow adoptive parents under certain circumstances to exclude from their federal adjusted gross income certain cash or other adoption benefits that are provided by their private-sector employers to cover qualifying adoption expenses. In many cases, these excluded benefit payments can be in addition to any available Federal Adoption Expense Tax Credit. See: Adoption Expense Tax Credit