Dear MD Webb,
I have been asked to take a look at this question.
Can you tell me this.
On what date did your son become adopted? (month and year please).
Please verify that you are taking the credits for money actually spent?
On what month and year did your son turn age 18?
My son was adopted in March 2007.
I am not taking credits from money actually spent (received the credit based on him being a special needs adoption. I am under the impression that I should be able to use my carry over credit.)
He turned 18 during May of 2008.
Thank you in advance.
Thank you for getting back to me. I am just about ready to provide the answer. I appreciate your patience.
do you spend an dincur any adoption expenses in 2007?
Do I assume corretly that this adoption was final in 2007?
AND is your child handicapped in anyway and to what extent?
The adoption was final in 2007.
I did not have to incur any expenses because he was a special needs adoption. I received the credit only because he was special needs, not because of actual expenses.
He is not handicapped.
Based on the information provided. As long as this adoption was final before the year in which he bacame age 18, and your credit does not include adoption expenses or new credits accrued in 2008, (the year in which he became age 18),
AND the non-allowed credits were due to modified adjusted gross income phase out, then you can still carry forward the credits.
I understand the pubs on this are confusing. BUT they are based on when you accrue the expenses or are first entiteled to the credit.