Bill > S1156

This bill, the Adoption Tax Credit Refundability Act of 2021, aims to make the existing adoption tax credit fully refundable. Currently, the adoption tax credit is a non-refundable credit, meaning taxpayers can only claim the credit to the extent they have tax liability. This bill would move the adoption tax credit to the refundable credits section of the Internal Revenue Code, allowing taxpayers to receive the full credit amount as a refund even if they have no tax liability. The bill also includes provisions for standardized third-party affidavits to verify legal adoptions, and a transitional rule to treat any unused credit from the previous year as a refundable credit in the first year the new provisions apply.