Taxpayers who finalized an adoption in 2025 or started the adoption process before 2025, may qualify for the adoption tax credit. Read a summary from gbq partners - ohio cpa firm. As a partially refundable tax. What changes did the obbba make to the federal adoption credit? · learn how the one big beautiful bill act (obbba) boosted the federal adoption credit with key changes. Are adoption tax credits refundable? What is the adoption tax credit? · youtube video text script on changes to the adoption tax credit under the one, big, beautiful bill The enactment of the omnibus big and beautiful bill (obbba) by president donald trump has ushered in a new era of tax reforms, with a spotlight on the adoption tax credit. How does the adoption credit work? · if you adopt an eligible child, you may be able to claim the adoption credit or income exclusion for employer-provided adoption benefits. Additionally, there have been significant changes to the tax credit under the one, big, beautiful bill. · under the obbba, the adoption tax credit was significantly enhanced starting in tax year 2025. Up to $5,000 of the credit is now refundable, meaning families can receive this portion as a refund even if they owe no federal income tax. Qualified adoption expenses are limited to $17,280 per qualifying child for 2025. · as mentioned, the adoption tax credit is designed to help families offset the costs of adoption , whether domestic, private, through foster care or foreign.

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