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IRS Policies on Adoption Tax Credit Under Scrutiny

UNDATED (WHTC) -- IRS policies on adoption tax credit are going under some scrutiny.  In light of the recent “targeting” of specific groups and findings from the 2012 Taxpayer Advocate Service’s annual report to Congress, questions about the IRS of the adoption tax credit have been raised.  The TAS report found that 69% of those claiming the adoption tax credit were audited by the IRS but only 1.5% of credits claimed were disallowed.  Congressman Bill Huizenga says that “Parents that go through the adoption process should be commended for their actions not singled out by the federal government.  The TAS study shows quite a few IRS employee work hours have been used investigating adoptive parents when compared to other tax filers.

Story by :  Diane E Coston