Question

The Smith family adopted a child. The adoption procedure took about three months, and the family incurred various expenses. Will the Smiths receive any financial benefit for the taxable year?
they will not receive any financial benefit for adopting the child
their income tax component will decrease
they will receive childcare grants
they will receive a tax credit for the cost borne for adopting the child
they will receive several tax deductions

Answer 1

Yes, the Smith family receive financial benefit for the taxable year. Adopting a child allows the family to ask for refund spent for adoption tax credits. This is application if the child is not over eighteen and is not a stepchild of your wife or husband.

Answer 2

Your answer is D. :)