How Do I Find an Adoption Tax Credit Specialist? - Weekend Wisdom

Question: When you are preparing your taxes and working out how to maximize this credit and get that $5,000 back, you might find that you want a tax professional to guide you through the filing process. How do you find a qualified, reputable tax specialist who can handle your claim?

Resources:

• Finding a Tax Specialist to File Your Adoption Tax Credit Claim
• The 2025 Adoption Tax Credit (podcast)
• What Documents Do I Need to File for the Adoption Tax Credit - Weekend Wisdom
• Adoption Tax Credit - Resource Guide

Transcript

Please pardon any errors, this is an automated transcript.

It's tax season, and for adoptive family, there's some genuinely good news about the
2025 federal tax filings. This year's adoption tax credit is worth up to $17 ,280.
And for the first time in a very long time, up to $5 ,000 of that amount is
refundable, meaning even families with little to no tax liability can receive some of
this credit back as a refund when they've adopted in 2025. Welcome to Weekend
Wisdom. I'm Tracy Whitney, the content director for creating a family and your host
for this conversation about the adoption tax credit. If you are preparing your taxes
or if you're already knee -deep in the paperwork and wondering how you got there,
you might be also wondering, should I find a tax specialist to help me with the
adoption tax credit. And if so, you might also be wondering how to find someone who
has expertise in filing the adoption tax credit. So we're going to help you out
with that. The truth is that most families can file the adoption tax credit on
their own using good tax software or online preparation tools. I'm told that the
basics are pretty straightforward. I say I'm told because my husband does the taxes
in our house and he did it and found it to be fairly straightforward. But sometimes
adoption, as we all know, can bring unique circumstances to all parts of our life,
but also to our taxes. And so when those things are not automatically intuitive,
it might be a good time to look for a tax specialist. So let me give you kind of
the four or five reasons that you might look for a tax specialist, and then we'll
talk about how to do that. So you might consider looking for a tax specialist that
understands the adoption tax credit if your adoption circumstances are a little bit
more complex or nuanced. For example, if there's self -employment involved,
if there's a special needs adoption involved, or you wonder if it's qualifying as a
special needs adoption, or sometimes for foster care adoptions. Another reason that
you might be looking for a tax specialist is that you might not be sure what
qualifies as qualified adoption expenses, and you want somebody to walk through that
with you. A third reason to look for an adoption tax credit specialist would be if
you have encountered a denial and you want representation for an appeal or for an
audit if they reach out to you and want to audit you, or if you need help
amending a return. And another reason is to just simply find the most available
money getting back to you as possible. You want that refundable portion to all come
back to you in your pocket, not theirs. So those are kind of the four reasons that
you might be looking for an adoption tax credit specialist. Those reasons are enough
to reach out. And so now when you're at the point of reaching out, what do you
look for? How do you find someone? It's true that not all tax preparers or
specialists have the same training or the same experience, just like every other
profession. So here are four essential questions to ask when you are interviewing a
potential tax specialist. These questions are thanks to our guest expert,
Becky Wilmouth, an enrolled agent and adoption tax credit specialist at Bill's Tax
Service in Illinois. She recommends that you ask these four questions. Number one,
are you an enrolled agent with the designation EA after their name? An enrolled
agent has the highest level of IRS authorization to represent taxpayers and is
trained on tax law, including credits and deductions. If they are able to say yes,
it's a strong indicator that they can handle more complex or nuanced adoption
situations when helping you file. The second question that she recommends that we ask
is how many adoption tax credits have you filed? In this case,
experience really matters, especially with a credit like this where the documentation
and the eligibility can vary widely from one family to another, from one adoption
situation to another. The third question that she recommends is, are you familiar
with adoption tax credit laws? That includes the new changes to the 2025 federal tax
claims. You want someone who not only prepares returns, but also understands how the
adoption tax credit works on both the practical and legal sides of things, especially
if you have one of those complicated situations. And the fourth question that she
recommends is, can you represent clients if the IRS denies my credit claim or
requests an audit? And it might seem unlikely that this would happen, but having
someone who can walk you through an appeal or an audit or an amended filing can be
very, very helpful towards maximizing that full $5 ,000 back. It's also really
important that you recognize that you don't have to be limited to someone in your
own town or your own state. Most tax professionals now work remotely and have very
secure ways that they can share documents back and forth and talk through the
questions that you may have. They can keep your private information private. This
opens up your options, which is excellent news if you're looking for someone who has
a wide and deep set of experiences with the adoption tax credit. And as always,
we always recommend this, that you keep all of your documentation well marked and
well organized, whether you're doing your taxes yourself or you're enlisting the help
of a professional. This step is so vital. We recently did a weekend wisdom episode
about documentation, and I will make sure that that's linked in the show notes for
you. And finally, try to remember that taxes, just like parenting, can feel
overwhelming and finding the right tax specialist to maximize your claim to the
adoption tax credit and its now $5 ,000 refundable portion can be a huge relief and
a significant boost to your bank account. Arming yourself with this correct
and understand what this tax credit means for you and your family. Listeners,
if today's episode was helpful to you, please leave us a comment or a rating or a
review in the link in your podcast player or in the show notes if you're watching
on YouTube. Try to share this episode with a friend who may also need to file for
the adoption tax credit this year and help them maximize their $5 ,000 refundable
portion as well. I'm glad you tuned in today. Thanks for listening and I'll see you
next week.