Us Congress 2023-2024 Regular Session

Us Congress House Bill HB3662

Introduced
5/25/23  

Caption

Adoption Tax Credit Refundability Act of 2023

Impact

If enacted, HB 3662 would significantly impact state laws related to tax credits and adoption incentives. By making the adoption tax credit refundable, families who adopt would receive a financial return even if their tax liability is reduced to zero, making adoption more accessible to a broader demographic. This change has the potential to influence state-level policies concerning child welfare and family support services, encouraging adoption and possibly leading to a rise in the number of children adopted each year.

Summary

House Bill 3662, titled the Adoption Tax Credit Refundability Act of 2023, aims to amend the Internal Revenue Code to establish a refundable adoption tax credit for taxpayers. This initiative targets taxpayers who incur qualified adoption expenses, particularly for the adoption of children with special needs. The bill seeks to reduce the financial burdens associated with the adoption process, thereby encouraging more families to adopt and provide stable homes to children in need.

Contention

Notable points of contention surrounding HB 3662 may arise from concerns about fiscal implications and the administration of the tax credit. Critics could argue about the potential for increased government spending or challenge the effectiveness of tax incentives in promoting adoptions compared to more direct forms of support. Additionally, discussions may focus on ensuring that the bill includes adequate provisions for verifying adoption expenses and preventing any misuse of the credit, particularly in cases involving children with special needs.

Companion Bills

US SB74

Related Providing for Life Act of 2023 This bill revises various programs and supports for families and children related to taxes, health, and other benefits. First, the bill increases the child tax credit to a maximum of $3,500 per child ($4,500 per child under the age of six) and makes permanent the increased income threshold over which the credit phases out. The bill further eliminates the federal deduction for certain state and local taxes (SALT deduction) and makes the adoption tax credit refundable. The bill allows parents to use a portion of their Social Security benefits for up to three months of paid parental leave after the birth or adoption of a child. Additionally, the bill requires Supplemental Nutrition Assistance Program (SNAP) recipients to cooperate with states in establishing child support orders. It also provides additional workforce training for noncustodial parents with child support obligations. States must establish requirements for the biological father of a child to pay, at the mother's request, at least 50% of reasonable out-of-pocket medical expenses associated with the mother's pregnancy and delivery. The bill requires institutions of higher education to provide students with certain information about the resources and services (excluding abortion services) available to pregnant students. Additionally, the bill provides grants for community-based maternal mentoring programs and for pregnancy resource centers that do not provide abortions; requires the Department of Health and Human Services to publish a website with specified pregnancy-related information; and extends from one to two years the postpartum benefit eligibility period under the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC).

US HB4789

Related Providing for Life Act of 2023

US SB2895

Related Adoption Tax Credit Refundability Act of 2023

Similar Bills

No similar bills found.