2019 Adoption Credit
For 2019, the Adoption Credit is $14,080 (Maximum credit), $211,160 (Phase-out threshold) and $251,160 (Fully phased out).
Effective 2019-01-01Source: Rev. Proc. 2018-57 (IRS)Verified 2026-08-29
Compared with 2018
| Item | 2018 | 2019 | Change |
|---|---|---|---|
| Maximum credit | $13,810 | $14,080 | +$270 (+2.0%) |
| Phase-out threshold | $207,140 | $211,160 | +$4,020 (+1.9%) |
| Fully phased out | $247,140 | $251,160 | +$4,020 (+1.6%) |
Who it applies to
Taxpayers who adopted an eligible child in 2019 or who are claiming the credit for adoption expenses paid in earlier years
What changed this year, and why
For 2019, the maximum Adoption Credit increased to $14,080 per eligible child, up from $13,810 in 2018. The income phase-out range also shifted upward.
Common questions
- What is the maximum Adoption Credit for 2019?
- The maximum credit is $14,080 per eligible child. For a child with special needs, the full $14,080 is allowed regardless of actual expenses. For other adoptions, the credit covers qualified adoption expenses up to $14,080.
- At what income level does the Adoption Credit begin to phase out?
- The credit begins to phase out for taxpayers with modified adjusted gross income above $211,160. In 2018, the phase-out began at $207,140.
- At what income level is the Adoption Credit completely phased out?
- The credit is fully phased out for taxpayers with modified adjusted gross income of $251,160 or more. In 2018, that ceiling was $247,140.
The credit shrinks as income rises
The 2019 adoption credit begins to phase out once your modified adjusted gross income exceeds $211,160. As your income rises above that threshold, the credit amount is reduced proportionally. The phase-out range continues until your modified adjusted gross income reaches $251,160 or more, at which point the credit is completely eliminated. This means taxpayers with income between $211,160 and $251,160 receive only a partial credit, while those earning $251,160 or more cannot claim any adoption credit at all. The maximum credit before any phase-out applies is $14,080 per eligible child.
This amount begins to phase out if you have modified adjusted gross income in excess of $211,160 and is completely phased out for modified adjusted gross income of $251,160 or more.
2019 Instructions for Form 8839, Qualified Adoption Expenses (IRS)
The income limit is measured on modified AGI
The income limit that determines whether your adoption credit is reduced or eliminated is based on modified adjusted gross income, commonly referred to as MAGI. This measure of income is used to apply the phase-out rules for 2019. Taxpayers must calculate their MAGI to determine if they fall within the phase-out range or if the credit is completely unavailable. The modified adjusted gross income figure is compared against the established thresholds to determine the allowable credit amount for the tax year.
The income limit on the adoption credit or exclusion is based on modified adjusted gross income (MAGI).
2019 Instructions for Form 8839, Qualified Adoption Expenses (IRS)
The credit and the employer exclusion cannot cover the same expense
A taxpayer adopting an eligible child may receive employer-provided adoption benefits that are excluded from income and may also claim the adoption credit. The total amount available for each benefit in 2019 is $14,080 per child. However, the same dollar of qualified adoption expense cannot be used to support both benefits. If employer-paid or reimbursed adoption expenses are excluded from wages, those amounts must be subtracted before figuring the credit. The remaining qualified expenses, if any, can then be applied toward the credit. Taxpayers must complete Part III of Form 8839, which handles employer-provided benefits, before completing Part II, which figures the credit, to avoid double-counting the same expenses.
But, you can't claim both a credit and exclusion for the same expenses.
2019 Instructions for Form 8839, Qualified Adoption Expenses (IRS)
Unused credit carries forward
When your adoption credit exceeds your tax liability for 2019, the unused portion does not disappear. You may carry the remaining credit forward to future tax years. The carryforward period lasts up to 5 years or until the credit is fully used, whichever comes first. This allows taxpayers to benefit from the full $14,080 maximum credit even when current-year tax liability is insufficient. To determine the carryforward amount, you must use the Adoption Credit Carryforward Worksheet provided in the instructions. If you have unused credit to carry forward to 2020, keep this worksheet because you will need it to calculate your credit in the following year. The carryforward continues annually until the credit is exhausted or the 5-year period expires.
If Form 8839, line 15, is smaller than line 14, you may have an unused credit to carry forward to the next 5 years or until used, whichever comes first.
2019 Instructions for Form 8839, Qualified Adoption Expenses (IRS)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
Rev. Proc. 2018-57 (IRS)
- Maximum credit
under § 23(b)(1) the maximum credit allowed for other adoptions is the amount of qualified adoption expenses up to $14,080
- Phase-out threshold
The available adoption credit begins to phase out under § 23(b)(2)(A) for taxpayers with modified adjusted gross income in excess of $211,160
- Fully phased out
under § 23(b)(2)(A) for taxpayers with modified adjusted gross income in excess of $211,160 and is completely phased out for taxpayers with modified adjusted gross income of $251,160 or more.