II 

112TH CONGRESS 

2D SESSION S. 3616 

To amend the Internal Revenue Code of 1986 to make permanent the expansion of tax benefits for adoption enacted in 2001 and to permanently 

reinstate the expansion of tax benefits for adoption enacted in 2010, 

and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

SEPTEMBER 21, 2012 

Ms. LANDRIEU (for herself, Mr. CARDIN, Mr. BLUNT, and Mrs. HUTCHISON) 

introduced the following bill; which was read twice and referred to the 

Committee on Finance 

A BILL 

To amend the Internal Revenue Code of 1986 to make 

permanent the expansion of tax benefits for adoption 

enacted in 2001 and to permanently reinstate the expansion of tax benefits for adoption enacted in 2010, and 

for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Making Adoption Af5 fordable Act of 2012’’. 


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1 SEC. 2. EXPANDED TAX BENEFITS FOR ADOPTION MADE 

2 PERMANENT. 

3 (a) EXPANSIONS ENACTED IN 2001 MADE PERMA4 NENT.—Section 901 of the Economic Growth and Tax Re5 lief Reconciliation Act of 2001 shall not apply to the 

6 amendments made by section 202 of such Act. 

7 (b) EXPANSIONS ENACTED IN 2010 PERMANENTLY

8 REINSTATED.— 

9 (1) INCREASE IN DOLLAR LIMITATION.— 

10 (A) ADOPTION CREDIT.— 

11 (i) IN GENERAL.—Paragraph (1) of 

12 section 23(b) of the Internal Revenue Code 

13 of 1986 is amended by striking ‘‘$10,000’’ 

14 and inserting ‘‘$13,170’’. 

15 (ii) CHILD WITH SPECIAL NEEDS.— 

16 Paragraph (3) of section 23(a) of such 

17 Code is amended— 

18 (I) in the text by striking 

19 ‘‘$10,000’’ and inserting ‘‘$13,170’’, 

20 and 

21 (II) in the heading by striking 

22 ‘‘$10,000’’ and inserting ‘‘$13,170’’. 

23 (iii) CONFORMING AMENDMENT TO IN24 FLATION ADJUSTMENT.—Subsection (h) of 

25 section 23 of such Code is amended to 

26 read as follows: 


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1 ‘‘(h) ADJUSTMENTS FOR INFLATION.— 

2 ‘‘(1) DOLLAR LIMITATIONS.—In the case of a 

3 taxable year beginning after December 31, 2010, 

4 each of the dollar amounts in subsections (a)(3) and 

5 (b)(1) shall be increased by an amount equal to— 

6 ‘‘(A) such dollar amount, multiplied by 

7 ‘‘(B) the cost-of-living adjustment deter8 mined under section 1(f)(3) for the calendar 

9 year in which the taxable year begins, deter10 mined by substituting ‘calendar year 2009’ for 

11 ‘calendar year 1992’ in subparagraph (B) 

12 thereof. 

13 If any amount as increased under the preceding sen14 tence is not a multiple of $10, such amount shall be 

15 rounded to the nearest multiple of $10. 

16 ‘‘(2) INCOME LIMITATION.—In the case of a 

17 taxable year beginning after December 31, 2002, the 

18 dollar amount in subsection (b)(2)(A)(i) shall be in19 creased by an amount equal to— 

20 ‘‘(A) such dollar amount, multiplied by 

21 ‘‘(B) the cost-of-living adjustment deter22 mined under section 1(f)(3) for the calendar 

23 year in which the taxable year begins, deter24 mined by substituting ‘calendar year 2001’ for 


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1 ‘calendar year 1992’ in subparagraph (B) 

2 thereof. 

3 If any amount as increased under the preceding sen4 tence is not a multiple of $10, such amount shall be 

5 rounded to the nearest multiple of $10.’’. 

6 (B) ADOPTION ASSISTANCE PROGRAMS.— 

7 (i) IN GENERAL.—Paragraph (1) of 

8 section 137(b) of the Internal Revenue 

9 Code of 1986 is amended by striking 

10 ‘‘$10,000’’ and inserting ‘‘$13,170’’. 

11 (ii) CHILD WITH SPECIAL NEEDS.— 

12 Paragraph (2) of section 137(a) of such 

13 Code is amended— 

14 (I) in the text by striking 

15 ‘‘$10,000’’ and inserting ‘‘$13,170’’, 

16 and 

17 (II) in the heading by striking 

18 ‘‘$10,000’’ and inserting ‘‘$13,170’’. 

19 (iii) CONFORMING AMENDMENT TO IN20 FLATION ADJUSTMENT.—Subsection (f) of 

21 section 137 of such Code is amended to 

22 read as follows: 

23 ‘‘(f) ADJUSTMENTS FOR INFLATION.— 

24 ‘‘(1) DOLLAR LIMITATIONS.—In the case of a 

25 taxable year beginning after December 31, 2010, 


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1 each of the dollar amounts in subsections (a)(2) and 

2 (b)(1) shall be increased by an amount equal to— 

3 ‘‘(A) such dollar amount, multiplied by 

4 ‘‘(B) the cost-of-living adjustment deter5 mined under section 1(f)(3) for the calendar 

6 year in which the taxable year begins, deter7 mined by substituting ‘calendar year 2009’ for 

8 ‘calendar year 1992’ in subparagraph (B) 

9 thereof. 

10 If any amount as increased under the preceding sen11 tence is not a multiple of $10, such amount shall be 

12 rounded to the nearest multiple of $10. 

13 ‘‘(2) INCOME LIMITATION.—In the case of a 

14 taxable year beginning after December 31, 2002, the 

15 dollar amount in subsection (b)(2)(A) shall be in16 creased by an amount equal to— 

17 ‘‘(A) such dollar amount, multiplied by 

18 ‘‘(B) the cost-of-living adjustment deter19 mined under section 1(f)(3) for the calendar 

20 year in which the taxable year begins, deter21 mined by substituting ‘calendar year 2001’ for 

22 ‘calendar year 1992’ in subparagraph (B) 

23 thereof. 


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1 If any amount as increased under the preceding sen2 tence is not a multiple of $10, such amount shall be 

3 rounded to the nearest multiple of $10.’’. 

4 (2) CREDIT MADE REFUNDABLE.— 

5 (A) CREDIT MOVED TO SUBPART RELAT6 ING TO REFUNDABLE CREDITS.—The Internal 

7 Revenue Code of 1986 is amended— 

8 (i) by redesignating section 23, as 

9 amended by subsection (a), as section 36C, 

10 and 

11 (ii) by moving section 36C (as so re12 designated) from subpart A of part IV of 

13 subchapter A of chapter 1 to the location 

14 immediately before section 37 in subpart C 

15 of part IV of subchapter A of chapter 1. 

16 (B) CONFORMING AMENDMENTS.— 

17 (i) Section 24(b)(3)(B) of such Code 

18 is amended by striking ‘‘23,’’. 

19 (ii) Section 25(e)(1)(C) of such Code 

20 is amended by striking ‘‘23,’’ both places it 

21 appears. 

22 (iii) Section 25A(i)(5)(B) of such 

23 Code is amended by striking ‘‘23, 25D,’’ 

24 and inserting ‘‘25D’’. 


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1 (iv) Section 25B(g)(2) of such Code is 

2 amended by striking ‘‘23,’’. 

3 (v) Section 26(a)(1) of such Code is 

4 amended by striking ‘‘23,’’. 

5 (vi) Section 30(c)(2)(B)(ii) of such 

6 Code is amended by striking ‘‘23, 25D,’’ 

7 and inserting ‘‘25D’’. 

8 (vii) Section 30B(g)(2)(B)(ii) of such 

9 Code is amended by striking ‘‘23,’’. 

10 (viii) Section 30D(c)(2)(B)(ii) of such 

11 Code is amended by striking ‘‘sections 23 

12 and’’ and inserting ‘‘section’’. 

13 (ix) Section 36C of such Code, as so 

14 redesignated, is amended— 

15 (I) by striking paragraph (4) of 

16 subsection (b), and 

17 (II) by striking subsection (c). 

18 (x) Section 137 of such Code is 

19 amended— 

20 (I) by striking ‘‘section 23(d)’’ in 

21 subsection (d) and inserting ‘‘section 

22 36C(d)’’, and 

23 (II) by striking ‘‘section 23’’ in 

24 subsection (e) and inserting ‘‘section 

25 36C’’. 


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1 (xi) Section 904(i) of such Code is 

2 amended by striking ‘‘23,’’. 

3 (xii) Section 1016(a)(26) of such 

4 Code is amended by striking ‘‘23(g)’’ and 

5 inserting ‘‘36C(g)’’. 

6 (xiii) Section 1400C(d) of such Code 

7 is amended by striking ‘‘23,’’. 

8 (xiv) Section 6211(b)(4)(A) of such 

9 Code is amended by inserting ‘‘36C,’’ be10 fore ‘‘53(e)’’. 

11 (xv) The table of sections for subpart 

12 A of part IV of subchapter A of chapter 1 

13 of such Code is amended by striking the 

14 item relating to section 23. 

15 (xvi) Paragraph (2) of section 

16 1324(b) of title 31, United States Code, is 

17 amended by inserting ‘‘36C,’’ after 

18 ‘‘36B,’’. 

19 (xvii) The table of sections for subpart 

20 C of part IV of subchapter A of chapter 1 

21 of the Internal Revenue Code of 1986 is 

22 amended by inserting after the item relat23 ing to section 36B the following new item: 

‘‘Sec. 36C. Adoption expenses.’’. 

24 (3) COORDINATION WITH SUNSET.—Each 

25 amendment made by this subsection to another proVerDate Mar 15 2010 04:30 Sep 27, 2012 Jkt 019200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S3616.IS S3616

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1 vision of law is to such provision of law as amended 

2 by section 10909(c) of the Patient Protection and 

3 Affordable Care Act, as amended by section 101(b) 

4 of the Tax Relief, Unemployment Insurance Reau5 thorization, and Job Creation Act of 2010. 

6 (4) EFFECTIVE DATE.—The amendments made 

7 by this subsection shall apply to taxable years begin8 ning after December 31, 2011. 

9 (c) ADOPTION OF GAO RECOMMENDATIONS.—The 

10 Secretary of the Treasury or the Secretary’s designee 

11 shall— 

12 (1) ensure that the Internal Revenue Service 

13 communications efforts about the adoption credit 

14 under section 36C of the Internal Revenue Code of 

15 1986 specifically include State and local adoption of16 ficials, and clarify acceptable documentation for the 

17 certification on special needs adoptees, and 

18 (2) determine whether requesting documenta19 tion in cases where no documentation is provided be20 fore initiating an audit would reduce the number of 

21 audits without significantly delaying refunds and, if 

22 so, implement such a strategy for the 2012 taxable 

23 year filing season. 

Æ 


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