How to enter adoption expenses - QuebecFor the Canada Revenue Agency (CRA), you can request a non-refundable tax credit on line 31300 in Step 5 of the federal return, for the adoption of a child under the age of 18 years, depending on the expenses incurred. For the 2018, the maximum amount is $ 15,905 which is indexed each year by the CRA.
For Quebec, a refundable credit is granted on line 462 for adoption fees per child, and this refundable credit is equivalent to 50% of adoption expenses, which is limited to $ 20,000.
A - To claim this credit, please follow these steps:
1. In the file of the Family head or spouse, under the "Left-side menu under the Interview tab'', select "Interview setup''.
2. On the right-hand side of the screen, go to the "Parents and children" group, check the box for "Adoption expenses and treatment of infertility" and click "Next" at the bottom of the page.
3. Return on the "Left-side menu under the Interview tab", select "Adoption expenses and treatment of infertility" and on the screen to the right, choose "Schedule 1 line 313 - Adoption expenses for an adopted child (TP-1029.8.63 - Tax credit for adoption expenses)".
4. On the page titled ''Adoption expenses", enter the relevant information in the adopted child's file.
B - To share the credit between spouses, follow these steps:
At the bottom section of the page, you can transfer the credit to the other adoptive parent.
1. To determine the amount that you want to transfer to your spouse, go to the "Tax return" tab and on the left side of the screen, choose the line ''Adoption expenses (federal)". On this page, on line 10 you will find the total amount of adoption expenses, which will help you determine the amount you want to transfer to your spouse.
2. For Quebec, in the "Tax returns" tab, go to the ''TP- 1029.8.63 - Adoption ex.'' page to view the total amount of adoption expenses and the tax credit entered on line 11.
3. Return to the ''Interview'' tab and the "Adoption expenses" page, choose the line "Amount of expenses claimed by other adoptive parent'' and enter the amount.
4. For Quebec residents, transfer the credit on the line ''Tax credit claimed by the other adoptive parent (Quebec) " and enter the credit you are transferring.
For more information about this topic, please consult the following links:
For the CRA:For Revenu Québec:
The program will carry over the credit on line 31300 of federal Step 5, and for Quebec the refundable tax credit will appear on line 462 and code 06 will be entered in line 461.
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