2008 Foster & Adoptive family federal tax credits

It is that time of year again to start thinking about taxes. If you have not already, you will soon be receiving W-2's and 1099's in the mail to complete your 2008 taxes. Don't forget that as a foster and adoptive family there are important tax credits for you federally, and possibly in your local state too. For 2008, the maximum adoption credit has increased to $11,650. There are two ways to claim this, one is per child, for the adoption of a special needs child formally in the foster care system; the second is a one time credit per adoption or attempt for domestic, private and international adoptions. The National Foster Parent Association has published and released their 2008 Tax Guide, you will find the PDF attached to this BLOG post. Make sure you also read Federal Tax Credits and Benefits resource.