As a gesture of ultimate compassion towards human life many parents or single parent adopt children and take care of them and provide them with all the necessities of life which help with become better citizens and good human beings. Government also appreciates this gesture and in their effort to support this great cause provides some incentives to the people doing so. Majorly adoption procedures are governed by Affordable Care Act. Adopting parents must follow the procedures laid down in the act to complete the formalities of adoption. In doing all this they also have to make certain expenses out of their pocket. They have to pay for the cost of attorney, court fee, consultation charges, travelling charges etc. from their pocket. As a relief to such taxpayers from IRS they can get tax credits towards this expenditure. Also it is no to be note that these credits would be fully refundable meaning that even if there is no or less tax liability of a tax payer which less that cost of such credits, still the taxpayers can get refunds on account of adoption credits.
There is a maximum credit limit which a adopting taxpayer can get benefit from. This limit stands revised in the year 2011 and currently stands at $13,170 per child. The previous limit for this was $ 12,150. The claiming taxpayers must provide vouchers of the expenses made while adopting a child to avail this credit at the time of filing their tax returns. Form 8839 needs to be filled for claiming adoption credits.