[Anonymous]

I have a question regarding Adoption credit if expenses incurred in prior to finalized in the year are taken into account in the year.

Here is an example,

A began to process of adopting 5 year old B in 2011.

A incurred $2000 in attorney and adoption fee in 2011.

Adoption finalized in 2012.

A incurred additional attorney fees of $3500 in 2012.

Ignoring AGI limitation, what is maximum adoption credit that A can take in 2012?

is it $3500?

Or, is it $5500?

well, Wiley says “it may sometimes be taken into account in a year prior to when the adoption is finalized” so wiley is $5500. but…why?

[jeff]

Hi cpa punk – Please post these types of questions in the “exam prep” thread.

[Anonymous]

hello, Jeff – another71.com. definitely, i will post in “exam prep” thread. thank you!

[Author]

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