Legislation Passes Senate Eliminating Adoption Tax Credit For Out-Of-State Adoptions

Legislation that passed the Senate this week may steer Missouri couples more toward adopting a Missouri child over adopting one from outside the area.

Legislation passed the Senate eliminating a $2 million annual allotment of tax credits for those couples adopting children from outside Missouri, including foreign adoptions.

There had been a $2 million annual allotment of tax credits for special needs children adopted from Missouri as well as for those adopted from outside Missouri. The credit was initially set up to help cover nonrecurring adoption costs like home visits and legal fees. It was capped at $10,000 per child.

The tax credit was left in place for those adopting Missouri children. To qualify, a child must be determined as special needs by the Department of Social Services, Children’s Division or by a court. Any individual or couple adopting a special needs child or any business helping an employee with a special needs adoption could be eligible under the Missouri law.

The legislation moved forward as a combination of Senate Bill 20, 15 and 19 and is the first piece of legislation to receive Senate approval in the 2013 legislative session.

It will now have to move through the House to gain full approval.

If you are in need of an attorney to assist in any family matters including adoption, divorce or custody issues, you want to speak with an experienced Missouri attorney. Call today for your free, initial consultation.

Missouri Special Needs Adoption Tax

Katie Synor

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