I 118TH CONGRESS 1ST SESSION H. R. 2510 To amend the Internal Revenue Code of 1986 to make the credit for the adoption of special needs children refundable. IN THE HOUSE OF REPRESENTATIVES APRIL 6, 2023 Mr. NUNN of Iowa (for himself and Mr. DAVIS of North Carolina) introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to make the credit for the adoption of special needs children refundable. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. ADOPTION CREDIT FOR SPECIAL NEEDS CHIL- 3 DREN MADE REFUNDABLE. 4 (a) IN GENERAL.—Section 23 of the Internal Rev- 5 enue Code of 1986 is amended by redesignating subsection 6 (i) as subsection (j) and by inserting after subsection (h) 7 the following new subsection: 8 ‘‘(i) PORTION OF CREDIT RELATED TO SPECIAL 9 NEEDS CHILDREN MADE REFUNDABLE.— 10 VerDate Sep 11 2014 22:53 Apr 13, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H2510.IH H2510 pbinns on DSKJLVW7X2PROD with $$_JOB 2 •HR 2510 IH ‘‘(1) IN GENERAL.—So much of the credit al- 1 lowed under this section for any taxable year (deter- 2 mined without regard to this subsection and sub- 3 section (c)) as does not exceed the special needs 4 adoption expenses for such taxable year shall be 5 treated as a credit allowed under subpart C (and not 6 allowed under this section). 7 ‘‘(2) SPECIAL NEEDS ADOPTION EXPENSES.— 8 For purposes of this subsection, the term ‘special 9 needs adoption expenses’ means, with respect to any 10 taxpayer for any taxable year, the aggregate amount 11 of qualified adoption expenses with respect to adop- 12 tions of children with special needs which is taken 13 into account in determining the credit allowed under 14 this section to such taxpayer for such taxable year 15 (determined without regard to this subsection, sub- 16 section (b)(2), and subsection (c)).’’. 17 (b) COORDINATION WITH CARRYFORWARD OF NON- 18 REFUNDABLE PORTION.—Section 23(c)(1) of such Code 19 is amended by striking ‘‘under subsection (a)’’ and insert- 20 ing ‘‘under this section (determined after application of 21 subsection (i))’’. 22 (c) EFFECTIVE DATE.—The amendments made by 23 this section shall apply to taxable years beginning after 24 VerDate Sep 11 2014 22:53 Apr 13, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2510.IH H2510 pbinns on DSKJLVW7X2PROD with $$_JOB 3 •HR 2510 IH the later of the date of the enactment of this Act or De- 1 cember 31, 2023. 2 Æ VerDate Sep 11 2014 22:53 Apr 13, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H2510.IH H2510 pbinns on DSKJLVW7X2PROD with $$_JOB