Bill > HB2011

This bill modifies the Arizona income tax code to expand tax deductions for adoption expenses, specifically adding human embryo adoption to the existing provisions. Currently, taxpayers can subtract unreimbursed medical, legal, and agency fees related to adoption, but the bill now explicitly includes human embryo adoption in this category. For taxable years before December 31, 2025, the maximum deduction remains $3,000, but after that date, the deduction increases to $5,000 for single individuals or heads of household, and $10,000 for married couples filing jointly. The bill allows the adoption expense subtraction to be taken in the year the final adoption order is granted or, in the case of human embryo adoption, in the year the legal transfer of the embryo to the adopting parent occurs. If a married couple files separate returns, they can divide the deduction between them, but the total cannot exceed the maximum allowed amount. This change provides additional financial support for individuals and couples pursuing adoption, with a specific recognition of human embryo adoption as a valid form of family building.

Budget and Finance

https://apps.azleg.gov/BillStatus/BillOverview/83544