Extension of Adoption Tax Credit

We've been talking about the need to extend the federal adoption tax credit since last year, well it was extended through December 2011. Many of you received information on this we sent out a while back. Attached is a report about the usage of the tax credit, and its impact. I think it is interesting to read that most families that take advantage of this credit adopt internationally. Education is everything! Current, updated tax credit information for adopt-foster and foster families (no it is not to early to plan):

• The federal special needs tax credit can be spread out over five years and it is per child. It applies for the year in which you finalize your adoption
• Foster families and pre-adoptive adopt-foster families, make sure you check off your child tax credit on your 1040 form. Yes, provided a child(ren) is placed with you for six or more months you can take advantage of the child tax credit on your federal (some States too) taxes.
  

In our experience it is often the case that most adopt-foster and foster families just don't know about these tax credits. If they did, they would used them far more often. Planning is everything, the current (2010) tax year is nearly half over so plan ahead.