Taxes and foster/adoptive parenting

Josh Kroll, with the North American Council on Adoptable Children (NACAC), recently shared this post with NFPA on Facebook:

I have had a few questions recently about taxes and foster/adoptive parenting.

1. Claiming children as dependents - foster parents as well as adoptive parents may be able to claim children as dependents. To claim the children you must meet all five tests - age, relationship (foster and adoptive parents are just fine), residency, support and joint filing tests.

The two big issues are support and residency. In 2005 the support test changed to the child can't provide more than half of their own support--foster care payments are not support provided by the child (and subsidy should be treated the same way). Residency is the other big issue, you have to have the child with you more than half the year (if the child was born or died during the year, then more than half of the year that they are alive).

Broward FAPA receives H&R Block funds

by Tina Severance-Fonte

Broward County Foster and Adoptive Parent Association is pleased to have partnered with H&R Block during the 2012 tax season. A coupon was made available to "first-time" tax clients that allowed Broward FAPA to receive $25 for each new customer. After April 15, H&R Block presented Broward FAPA with $1,225.