Alabama § 40-18-361 - Tax Credit for Certain Adoptions.
Full text of Alabama Code of Alabama § 40-18-361 — Tax Credit for Certain Adoptions., with citation guidance and answers to common questions.
§ 40-18-361. Tax Credit for Certain Adoptions.
(a) A taxpayer shall be allowed a one time, refundable credit against the tax imposed by Section 40-18-2, for a private adoption or the adoption of a qualified foster child until December 31, 2022. The amount of such credit shall be one thousand dollars ($1,000) per child adopted through a private adoption or qualified foster child to be claimed in the year in which the adoption becomes final.
(b)(1) For tax years beginning on and after January 1, 2023, and ending December 31, 2027, a taxpayer shall be allowed a one time, refundable credit against the tax imposed by Section 40-18-2, for a private adoption, an out-of-state adoption, or the adoption of a qualified foster child. The credit may be claimed in the year in which the adoption becomes final.
(2) The amount of the credit shall be two thousand dollars ($2,000) per child adopted through a private adoption or per the adoption of a qualified foster child, provided that the adopted child is a resident of Alabama.
(3) If the child is adopted through an out-of-state adoption or is not otherwise a resident of Alabama, the amount of the credit shall be one thousand dollars ($1,000) per child.
(c) A taxpayer who adopts a child of his or her spouse is not eligible for a tax credit under this section.
(d) For tax years beginning on and after January 1, 2028, a taxpayer shall be allowed a one time, refundable credit against the tax imposed by Section 40-18-2, for a private adoption or the adoption of a qualified foster child. The amount of such credit shall be one thousand dollars ($1,000) per child adopted through a private adoption or qualified foster child to be claimed in the year in which the adoption becomes final.
Source: official Alabama text · Last verified 2026-08-27
Frequently Asked Questions About Alabama § 40-18-361
What does Code of Alabama § 40-18-361 cover?
Section 40-18-361 ("Tax Credit for Certain Adoptions.") is part of the Code of Alabama, the codified statutory law of Alabama. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Alabama § 40-18-361?
A common citation format is "Code of Alabama § 40-18-361" (Alabama). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Alabama law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Alabama official source linked on this page or consult a licensed Alabama attorney.
How does Alabama § 40-18-361 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Alabama can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Alabama.