It really seems that this is never ending when you are ready to just to "be"! But we are coming into the light at the end of the tunnel, so it's all good.
We are starting to think about the adoption credit. Is it really just a full blown credit? Like, you may owe $3000, but with the $10000 credit you get $7000 back? Surely this is too good to be true. Can anyone shed any light on this for us? That is a huge credit and sounds great, but are we understanding this right?
Our camera fried, so I will put some other pictures from our recent trip to Sweet Berry Farms in Marble Falls. Granny Elliott went with us.
4 comments:
yes, it's a tax credit. if it's more than you owe, you get cash back.
Rachel,
She won't get her citizenship here, just the name change, you as her official parents in the US eyes and a new birth certificate. You still have to apply for citizenship now too (another $420!) once you get the court papers. After you get the citizenship papers, then you can go for the SS # and passport. Actually, we were told you can get her a SS #, but it would be as an alien resident and then you have to have it changed once she is a citizen. We decided just to wait for citizenship.
Have a great time in Ft Worth! The court stuff is a breeze. Let me know if you want to try to get together. We have 6 month post placement home report on Wed afternoon, but we're free that evening.
If your federal tax bill is, say, $7000, and you use the tax credit of $10000, you will end up with a difference of $3000. You can take the $7000 credit, owe no federal taxes, and take the remainder of the credit the following year. (You can spread it out over several years... I think 5???) Some states also have adoption tax credits that you can use on your state taxes. It pretty much knocks $10K off your adoption costs.
I don't think you actually get the money back...you can just use it for taxes the next year (up to 5 years, I believe).
Piper is so cute I can't take it!
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