Adoption Tax Credit 2017

Host Dawn Davenport, Executive Director of Creating a Family, the national infertility & adoption education and support nonprofit, interviews: Josh Kroll, Adoption Subsidy Resource Center coordinator at NACAC; and Becky Wilmoth, an Adoption Tax Credit Specialist at Bills Tax Service. Click to listen to the free podcast!

 + Highlights of the show

  • When can you file for the Adoption Tax Credit: international, domestic (non-foster care), foster care.
  • If your adoption from foster care did not cost you anything, are you still eligible for the Adoption Tax Credit?
  • How to find out if the state considered my adopted child “special needs”?
  • Do I have to wait until all my expenses are totaled before claiming the Adoption Tax Credit on my taxes or if I spent a certain amount of money in one year, can I claim that the next year even if my adoption is not final?
  • Can I file my taxes as “head of household” if I became guardian of my child this year, but the adoption is not complete?
  • Are Embryo adoptions (embryo donations) allowed under the Adoption Tax Credit?
  • How are adoptions from foster care treated differently from other types of domestic adoptions under the Adoption Tax Credit?
  • How much is it the credit for 2017?
  • Can claim only once per adoption.
  • What is a “tax credit” and how best to use it?
  • Confusion over how much you owe in taxes vs. withholding and how much you have to pay or receive back if you had more withheld than you owe.
  • What is allowed to be included in the Adoption Tax Credit? What is considered a qualified adoption expense?
  • Are the fees paid for foster care when adopting from the Democratic Republic of Congo Adoptions while the child was waiting to leave the country able to be included as qualified adoption expenses funder the Adoption Tax Credit for the year(s) that the child was still in the DRC?
  • Are legally allowable birth mother expenses for domestic infant adoption allowed to be claimed as a qualified adoption expense under the Adoption Tax Credit?
  • Are travel expenses allowed to be claimed as a qualified adoption expense under the Adoption Tax Credit?
  • What are the income limits for the Adoption Tax Credit? How are bonuses handled?
  • What type of documentation do you need to have for the expenses you are claiming? Do you need to submit the documentation along with your taxes?
  • How long can your carry over the credit to best be able to make full utilization of it?
  • Can you claim expenses for a failed adoption?
  • If you do not have enough taxable income to take advantage of the Adoption Tax Credit, what can you do to show more taxable income and receive the carryover credits?
  • What happens with the Adoption Tax Credit if you complete two separate adoptions in one year? In two consecutive years?
  • Can you claim a child as a dependent on your taxes if the adoption has not been finalized?
  • Tips and tricks for claiming the Adoption Tax Credit.

This content was originally published by Creating a Family, the national adoption & infertility education nonprofit.

https://creatingafamily.org/adoption-category/adoption-tax-credit-2017/

Top 10 Special needs in South Africa Adoption

We’ve known for many years that there are children in South Africa who need adoptive families, but it took many years for the governmental permissions to grant Spence-Chapin as an accredited adoption provider in South Africa. Adoptions opened to American families in 2013 and Spence-Chapin has been actively finding families ever since! South Africa is signatory to the Hague so adoptive families have the benefits of the Hague Treaty, which is designed to ensure that international adoption is a transparent, ethical process with an established infrastructure to protect and support children and families.

We made many visits to our partners in Johannesburg, Johannesburg Child Welfare, to visit with their social workers and the children. It became clear that the children in need of international adoption are toddlers and young children with medical needs. JCW shared their proud history of a robust domestic adoption program and finding families for healthy infants. Their social workers noted that even other international adoptive families were not open to adopting children with special needs – and this is where Spence-Chapin knew we could make a difference.

It’s a simple focus: the kids who are the most vulnerable and are in need of adoption. We are their advocates.

The children are living in JCW’s care in the Johannesburg metro region. They are cared for in nurseries with caring staff. JCW partners with a Thusanani Children’s Foundation to provide safe and modern medical care to ensure each child receives the medical care they need – HIV testing and treatment, occupational therapy, physical therapy, antibiotics, surgery, well-baby visits, etc.

Spence-Chapin finds families for the most vulnerable children – the children who are ready for adoption and need an international adoptive family. These are kids from 18 months – 8 years old with an identified medical diagnosis. It’s this medical diagnosis that’s been a barrier for domestic adoptive families and other international adoptive families.

There are millions of children around the world living with HIV who are waiting for a family. Years ago, immigration laws prohibited HIV+ children from being adopted into American families. After advocacy, legislation was passed allowing for the intercountry adoption of these children. There are many families open to adopting a child who is HIV+ and have the resources to provide the medical care and love an adoptive family can provide!

Spence-Chapin is an advocate for all types of parents to adopt – single men & women, married and unmarried couples, and LGBTQ parents. It’s exciting for us to partner with JCW who is also open to all types of parents! All types of parents can adopt from South Africa – married couples, unmarried couples, LGBTQ parents, single women, and single men. The South Africa government is committed to a practice of non-discrimination and we’ve seen this be true in our adoption program as married couples, LGBTQ parents, as well as single parents have adopted! It truly is about finding the right parent(s) for a child!

We knew we had to reduce barriers to special needs adoption so we have eliminated our professional service fees. Families should consider fees for application, home study, USCIS, and country fees. Our rough estimate is that these adoption fees will total about $10,000. We know that by removing barriers to adoption we can find the families these children are waiting for!

Spence-Chapin sponsors a “Granny Program” at JCW to help the children develop the important socioemotional bonds that needs to accompany childhood. This program brings local women from the community into the nursery everyday. Each granny volunteer is matched with a child and the granny visits everyday and plays with the child – like a surrogate grandparent! We see an incridble progress made by children who are matched with a granny. In South Africa the children call their grannies “gogo”!

Listen to the gogos sing a song!

Are you considering adopting a child with special needs? Children in South Africa are waiting for you! It takes a special type of parent to adopt a child with medical needs. We’re here for you before, during, and after your adoption to provide information and support to your family!

Share Your Story: Birth Parent Perspectives

Listen to Aline, Latoya, Mariah, Melissa, and Scott share their stories about making a plan for their child with the support of Spence-Chapin.

Spence-Chapin provides free, confidential, and unbiased options counseling for pregnant women & biological parents.

Aline’s Story: Birth Parent Perspectives – Watch Aline talk about the comfort she received from her Interim Care Provider.

 

Latoya’s Story: Birth Parent Perspectives – Watch Latoya talk about finding post-adoption support from Spence-Chapin.

 

Mariah’s Story: Birth Parent Perspectives – Watch Mariah talk about why she chose open adoption.

 

Melissa’s Story: Birth Parent Perspectives – Watch Melissa tell her story about how Spence-Chapin helped her through a difficult time.

 

Scott’s Story – Watch Scott tell his family’s story about how Spence-Chapin helped them find hope.

Biological Parent

Call us 24/7 at 1-800-321-LOVE. Contact the writer Lucy Shaw at lshaw@spence-chapin.org.

Have You Been Called to Help Children on Orphan Sunday?

waiting children

On November 13, 2016 the world will join together to learn about the millions of orphans around the world who are waiting for a loving and permanent family. Spence-Chapin is joining the Orphan Sunday movement to bring awareness to the many children who are living in orphanages and waiting for their adoptive parents to find them. Spence-Chapin advocates for children in New York and around the world in Bulgaria, Colombia and South Africa. In New York and around the world there are infants and children waiting for the love and stability of an adoptive family. All the children profiled on Spence-Chapin’s website are part of our Special Needs or International Adoption programs- Spence-Chapin has eliminated our Professional Services fee for these adoptions. The children are in immediate need of an adoptive family.

Please help us bring awareness to the need for more adoptive families! So many families are eligible to adopt – married and unmarried couples, single men and women, LGBTQ parents, and families of all ages, income levels, and religions!

Join us for an event during National Adoption Month – Voices of the Triad Panel Discussion on November 10th, Adoption 101 webinar on November 15th, or New Jersey adoption fair November 18th. Orphan Sunday is an opportunity to raise awareness of the children here and around the world in need of adoptive families and to promote the need for post-adoption support for all members of the adoption constellation.

We Celebrate Clara Spence

“Throughout our Nation’s history, American women have led movements for social and economic justice, made groundbreaking scientific discoveries, enriched our culture with stunning works of art and literature, and charted bold directions in our foreign policy.”

In 2009, Martha Ulman, Clara Spence’s grand-daughter, wrote an article for the New York State Historical Association chronicling the history of her grandmother’s achievements as a pioneer in adoption in New York. We can think of no better way to acknowledge the women who shaped social justice than to honor our own founder and adoption advocate Clara Spence. This is an excerpt from Martha Ulman’s article:

Clara_Spence resizedClara Spence achieved her work during the pivotal decades 1900-1920, when there were many people with socially progressive ideas. Some approached the problem of the discrepancy between the rich and the poor from the bottom up. They personally went into the slums and worked with the problem firsthand. Clara Spence chose to approach the problem from the top by preaching to the children of the richest New Yorkers the moral and ethical virtue of service so that they, in their adult life, would make a difference in improving the conditions of those less fortunate. Although many of her students went own to serve in their communities, the area for which they are best known is that of adoption and the creation of their nursery, which merged with that of Henry and Alice Chapin in 1943. Known today as Spence-Chapin Services to Families and Children, the organization continues to serve the needs of children of all creeds, colors, and nationalities.

Born in Albany, New York, in 1859, Clara Spence was a member of the middle class. She graduated from Boston University’s School of Oratory in 1879, after which she attended London University where she honed her acting skills. She came to New York City originally aspiring to be an actress but, upon the death of her mother in 1883, she shifted her talents to teaching at private schools for girls. In 1892, she founded her own school in a brownstone at 6 West Forty-Eighth Street. It was in this school that Clara Spence began a nursery for abandoned babies.

The treatment of orphans before the 1890’s followed a dreary route from institutional care to indentured service or, in the case of thousands of children in Charles Loring Brace’s orphan trains, relocation to families hundreds of miles from their homes. There, as Marilyn Holt notes in her book, “The Orphan Trains: Placing Out in America”, they were often valued for their labor potential rather than accepted as members of the family. Clara Spence offered adoption as an alternative to institutionalization or relocation. Adoption, which we now take for granted, was an anomaly at a time when to adopt a non-relative was consider a brave and bizarre act, because of genetic uncertainty and social stigma. Clara Spence dedicated herself to the cause of abandoned infants and introduced her students to adoption as a new and fulfilling form of social work.

In January 1909, the White House Conference on Dependent Children adopted fourteen resolutions all aimed at replacing the institutional method of child care with home care. The next month Clara Spence personally adopted a one-year-old girl from the Children’s Aid Society. The judge had no objection to her application even though she was a single parent nearing the age of fifty. Six years later in 1915, Clara Spence adopted a little boy. Her partner, Charlotte Baker, adopted a girl in 1911 and a boy in 1914, completing what was one of the first single-sex adoption families.
Clara Spence - Central Park, February 1911

It was Ms. Spence’s personal involvement that inspired her students, who witnessed the transformation of babies who came from institutions and were “built up” for adoption on the top floor of her school. As a result, in 1915, the alumnae of the school opened the Spence Alumnae Society nursery through which several hundred babies were placed in adoptive homes. In 1921, Clara Spence brought thirteen children from Great Britain to the United States to be adopted into American families, anticipating what has today become a vast network of international adoption. By her willingness to defy public opinion and risk social ostracism, Clara Spence not only managed to make adoption an accepted practice, but one that became the method of choice for hundreds of families. It was largely because of her work and influence that New York became recognized as a leader in child welfare and adoption in particular.

Spence-Chapin has spent over 100 years finding innovative ways to fulfill Clara Spence’s legacy. Our expertise has consistently expanded the benefits of adoption to more children and the prospective parents who want to love them.

Just as Clara Spence responded to the need in her time, our work is focused on serving women and families who need help planning and building strong, loving families. We are driven by the simple and fundamental belief: every child deserves a family. Through our Modern Family Center, we provide counseling and community services that help these new families succeed. We can create more permanent, loving families just as we’ve always done.

7 Ways to Celebrate National Adoption Month

November is recognized as National Adoption Awareness Month. A Presidential Proclamation brings awareness to important adoption–related issues and the children waiting for adoptive families. Local news stations, community centers, and adoption organizations often have activities to celebrate adoption around the country. Associate Director of Outreach Katie Foley at Spence-Chapin says “those of us with personal connections to adoption can be powerful voices in promoting adoption, breaking down myths, and bringing attention to the children here and around the world waiting for permanent families.”  Here are Spence-Chapin’s ideas for how to celebrate National Adoption Month!

  1. Support a friend or family member who is adopting. Send a note to someone adopting to let them know you’re thinking of them and supporting their family.
  1. Attend an event to learn about adoption. Join an event in your community to learn about adoption and hear from birth parents, adoptive parents, and/or adoptees!
  1. Spread the word! Share information about adoption with your community on social media: Facebook, Instagram, and Twitter including how to adopt and the children waiting for adoption!
  1. Volunteer with a foster care or adoption organization. Many non-profit organizations couldn’t fulfill their mission without the help of dedicated and passionate volunteers!
  1. Fundraise for an adoptive family or adoption organization. Adoptive families are often responsible for many different adoption expenses and their non-profit adoption agencies want to keep adoption as affordable as possible. Donate today to your favorite child-welfare organization or a family who is adopting!
  1. Encourage your office to offer adoption benefits. Adoption benefits are not universally available to new adoptive parents. Encourage your company to be recognized as an Adoption-Friendly Workplace by the Dave Thomas Foundation.
  1. Write about your experience or connection to adoption. Bring attention to adoption by writing about your experience or connection to adoption on a blog or social media!! Spence-Chapin wants to you to share your story on their blog!