Senate Democrats Block Adoption Tax Relief
U.S. Senator Jim DeMint (R-South Carolina)
Contact: Wesley Denton (202) 228-5079
Washington, DC – The Democrat-controlled Senate rejected an amendment late Thursday offered by U.S. Senator Jim DeMint (R-South Carolina) that would have made permanent the current Adoption Tax Credit, which will expire in 2010. The amendment failed on a 48 to 48 vote.
“I’m disappointed we missed this opportunity to assist loving parents who want to open their homes to children in need,” said Senator DeMint. “The infant adoption tax credit is a powerful tool that is making adoption possible for thousands of American families. Unfortunately, the current adoption tax credit is scheduled to sunset in 2010. If we don’t make this tax relief permanent, adoption taxes will go up and many American families will not be able to afford the expenses associated with adoption, which are now between $10,000 and $25,000.”
If the adoption tax credit is not made permanent and is allowed to expire, (1) the tax credit will be cut overnight from a maximum of $10,000 to $5,000, (2) families who adopt special needs children will no longer receive a flat $10,000 credit, and instead, they will be limited to a maximum of $6,000, and (3) families claiming the credit may be pushed into the Alternative Minimum Tax (AMT).
Senator Mary Landrieu (D-Louisiana), who is a strong adoption advocate, opposed DeMint’s amendment because it was not offset with tax increases. Senator Landrieu said, “The problem with the [Senator’s] amendment is it is not paid for…” even though she is a cosponsor of S.561, which makes the adoption tax credit permanent without raising taxes.
Senator DeMint pointed out that taxes should not have to be raised to make adoption tax relief permanent, and that there may not be another opportunity to pass this legislation for some time. DeMint said, “There is no reason we can’t create some predictability with the adoption tax credit so we can continue to grow the number of adoptions in this country.”
Senator DeMint authored the original legislation that expanded the adoption tax credit and has been inducted into the Adoption Hall of Fame by the National Council for Adoption.
###
I appreciate your attempt to support adoption through a permanent tax credit. As an adoptive mother I want to say do not give up. Some of the special needs children would certainly end up as wards of the state. How much does that cost? Keep trying.
Senator Landrieu summed up exactly just what is wrong with our leaders. If they don’t raise taxes on certain groups they just can’t justify tax breaks on other segments. This is a perfect reason for passing HR-25 and S-1025, The Fair Tax. Everyone will pay the same and it will no longer be up to our representatives in Washington.