Adoption Tax Credit ImageWe asked, you answered. You called, Tweeted, emailed and raised your voices in the media to let Congress know that the Adoption Tax Credit was important. Well, your voice was heard! On November 9, 2017, the Adoption Tax Credit was reinstated in the House tax reform bill!

Here’s the official statement from the Save the Adoption Tax Credit Coalition:

WASHINGTON: Save The Adoption Tax Credit Working Group issues the following statement in response to the House Ways and Means Committee’s updated tax reform bill and the release of Senate Republicans’ proposed tax reform bill:

We are deeply appreciative that the House Ways and Means Committee has reversed its proposed elimination of the adoption tax credit and has taken a step to support American families by retaining the adoption tax credit as part of H.R. 1, Tax Cuts and Jobs Act. Additionally, we are pleased the Senate Republican’s proposal has also retained this important tax credit.

As the legislative process for tax reform moves forward, Congress should ensure that any final bill maintains the current availability and amount of the adoption tax credit for all Americans that currently qualify. Anything less would result in Congress picking winners and losers among children and their families. Beyond retaining the current credit, improvements should include reinstating refundability of this credit so more middle and lower income families can benefit as they welcome a child into their home.

On behalf of the Adoption Tax Credit Working Group, a coalition of more than 150 adoption and family building advocates, nonprofits, attorneys, and religious organizations across the United States, we appreciate the work that Chairman Kevin Brady and Representatives Mike Kelly, Diane Black, Trent Franks, and Danny Davis did to reinstate the adoption tax credit in the House bill. We look forward to working with all Members of Congress to preserve and enhance the credit. All children deserve a forever family.

Did you send a letter or make a call to your Representative? Make sure you thank them for hearing you! And make sure you share your thanks on social media—they notice that too!

We love celebrating when there’s a victory to celebrate…but we’re not done yet. We will continue to fight to make the Adoption Tax Credit fully refundable, but we need to make sure we have the resources to continue that fight. A $10 (or more!) charitable donation to our efforts would really help.

Thank you for all you do to ensure that anyone struggling to build their family has access to all family building options.

Update as of November 14, 2017:

The House tax reform bill, which passed the House Ways and Means Committee and must be voted on by the full House, restored the Adoption Tax Credit, but it does still change two provisions important to our community:

  • It eliminates the Medical Deduction, which is helpful to anyone with large out-of-pocket medical costs who itemize their deductions
  • It eliminates the exclusion from income of employer provided adoption assistance benefits

The U.S. Senate Finance Committee is now debating its tax reform bill. The Senate bill keeps the Adoption Tax Credit, medical deductions, and it keeps the employer adoption assistance benefits exclusion. Once the Senate passes its bill and the House passes its bill, there will be a conference committee that will meet to reconcile any differences, finalize a bill, then the House and Senate will vote on the final bill. RESOLVE will be tracking the process and alerting advocates to any issue that needs their attention. Sign up today to receive updates about this bill.

NOTE: RESOLVE does not take a position on the overall tax reform bills or process, and does not advocate for or against tax reform. RESOLVE is only concerned how this bill, or any bill in Congress, impacts people who are struggling to build their family.