‘‘(BB) a voluntary placement agree-
ment or voluntary relinquishment; 
‘‘(bb) meets all medical or disability re-
quirements of title XVI with respect to eligi-
bility for supplemental security income benefits; 
or 
‘‘(cc) was residing in a foster family home 
or child care institution with the child’s minor 
parent, and the child’s minor parent was in 
such foster family home or child care institution 
pursuant to— 
‘‘(AA) an involuntary removal of the 
child from the home in accordance with a 
judicial determination to the effect that 
continuation in the home would be con-
trary to the welfare of the child; or 
‘‘(BB) a voluntary placement agree-
ment or voluntary relinquishment; and 
‘‘(II) has been determined by the State, 
pursuant to subsection (c)(2), to be a child with 
special needs.’’; and 
(ii) in subparagraph (C)— 
(I) by redesignating subclauses 
(I) and (II) of clause (iii) as items 
(aa) and (bb), respectively;
(II) by redesignating subclauses 
(I) and (II) of clause (iv) as items 
(aa) and (bb), respectively; 
(III) by redesignating clauses (i) 
through (iv) as subclauses (I) through 
(IV), respectively; 
(IV) by realigning the margins of 
the subclauses and clauses redesig-
nated by subclauses (I) through (III) 
accordingly; 
(V) by striking ‘‘if the child—’’ 
and inserting ‘‘if— 
‘‘(i) in the case of a child who is not an applica-
ble child for the fiscal year (as defined in subsection 
(e)), the child—’’; 
(VI) in clause (i)(I) (as so redes-
ignated), by striking ‘‘(A)(ii)’’ and in-
serting ‘‘(A)(i)(II)’’; 
(VII) in clause (i)(IV) (as so re-
designated)— 
(aa) in the matter preceding 
item (aa), by striking ‘‘(A)’’ and 
inserting ‘‘(A)(i)’’; and
(bb) by striking the period 
at the end and inserting ‘‘; or’’; 
and 
(VIII) by adding at the end the 
following: 
‘‘(ii) in the case of a child who is an applicable 
child for the fiscal year (as so defined), the child 
meets the requirements of subparagraph (A)(ii)(II), 
is determined eligible for adoption assistance pay-
ments under this part with respect to a prior adop-
tion (or who would have been determined eligible for 
such payments had the Adoption and Safe Families 
Act of 1997 been in effect at the time that such de-
termination would have been made), and is available 
for adoption because the prior adoption has been 
dissolved and the parental rights of the adoptive 
parents have been terminated or because the child’s 
adoptive parents have died.’’; and 
(B) by adding at the end the following: 
‘‘(7)(A) Notwithstanding any other provision of this 
subsection, no payment may be made to parents with re-
spect to any applicable child for a fiscal year that— 
‘‘(i) would be considered a child with special 
needs under subsection (c)(2);
‘‘(ii) is not a citizen or resident of the United 
States; and 
‘‘(iii) was adopted outside of the United States 
or was brought into the United States for the pur-
pose of being adopted. 
‘‘(B) Subparagraph (A) shall not be construed as pro-
hibiting payments under this part for an applicable child 
described in subparagraph (A) that is placed in foster care 
subsequent to the failure, as determined by the State, of 
the initial adoption of the child by the parents described 
in subparagraph (A). 
‘‘(8) A State shall spend an amount equal to the 
amount of savings (if any) in State expenditures under 
this part resulting from the application of paragraph 
(2)(A)(ii) to all applicable children for a fiscal year to pro-
vide to children or families any service (including post- 
adoption services) that may be provided under this part 
or part B.’’; 
(2) in subsection (c)— 
(A) by redesignating paragraphs (1) and 
(2) as subparagraphs (A) and (B), respectively, 
and realigning the margins accordingly; 
(B) by striking ‘‘this section, a child shall 
not be considered a child with special needs un-
less’’ and inserting ‘‘this section—
‘‘(1) in the case of a child who is not an appli-
cable child for a fiscal year, the child shall not be 
considered a child with special needs unless’’; and 
(C) in paragraph (1)(B), as so redesig-
nated, by striking the period at the end and in-
serting ‘‘; or’’; and 
(D) by adding at the end the following: 
‘‘(2) in the case of a child who is an applicable 
child for a fiscal year, the child shall not be consid-
ered a child with special needs unless— 
‘‘(A) the State has determined, pursuant 
to a criterion or criteria established by the 
State, that the child cannot or should not be re-
turned to the home of his parents; 
‘‘(B)(i) the State has determined that 
there exists with respect to the child a specific 
factor or condition (such as ethnic background, 
age, or membership in a minority or sibling 
group, or the presence of factors such as med-
ical conditions or physical, mental, or emotional 
handicaps) because of which it is reasonable to 
conclude that the child cannot be placed with 
adoptive parents without providing adoption as-
sistance under this section and medical assist-
ance under title XIX; or
‘‘(ii) the child meets all medical or dis-
ability requirements of title XVI with respect to 
eligibility for supplemental security income ben-
efits; and 
‘‘(C) the State has determined that, except 
where it would be against the best interests of 
the child because of such factors as the exist-
ence of significant emotional ties with prospec-
tive adoptive parents while in the care of the 
parents as a foster child, a reasonable, but un-
successful, effort has been made to place the 
child with appropriate adoptive parents without 
providing adoption assistance under this section 
or medical assistance under title XIX.’’; and 
(3) by adding at the end the following: 
‘‘(e) APPLICABLE CHILD DEFINED.— 
‘‘(1) ON THE BASIS OF AGE.— 
‘‘(A) IN GENERAL.—Subject to paragraphs 
(2) and (3), in this section, the term ‘applicable 
child’ means a child for whom an adoption as-
sistance agreement is entered into under this 
section during any fiscal year described in sub-
paragraph (B) if the child attained the applica-
ble age for that fiscal year before the end of 
that fiscal year.
‘‘(B) APPLICABLE AGE.—For purposes of 
subparagraph (A), the applicable age for a fis-
cal year is as follows: 
‘‘In the case of fiscal year: 
The applicable age is: 
2010 ..........................................................................
2011 ..........................................................................
2012 ..........................................................................
2013 ..........................................................................
2014 ..........................................................................
2015 ..........................................................................
2016 ..........................................................................
2017 ..........................................................................
2018 or thereafter .....................................................
any age. 
‘‘(2) EXCEPTION
FOR
DURATION
IN
CARE.— 
Notwithstanding paragraph (1) of this subsection, 
beginning with fiscal year 2010, such term shall in-
clude a child of any age on the date on which an 
adoption assistance agreement is entered into on be-
half of the child under this section if the child— 
‘‘(A) has been in foster care under the re-
sponsibility of the State for at least 60 consecu-
tive months; and 
‘‘(B) meets the requirements of subsection 
(a)(2)(A)(ii). 
‘‘(3) EXCEPTION FOR MEMBER OF A SIBLING 
GROUP.—Notwithstanding paragraphs (1) and (2) of 
this subsection, beginning with fiscal year 2010, 
such term shall include a child of any age on the 
date on which an adoption assistance agreement is
entered into on behalf of the child under this section 
without regard to whether the child is described in 
paragraph (2)(A) of this subsection if the child— 
‘‘(A) is a sibling of a child who is an appli-
cable child for the fiscal year under paragraph 
(1) or (2) of this subsection; 
‘‘(B) is to be placed in the same adoption 
placement as an applicable child for the fiscal 
year who is their sibling; and 
‘‘(C) meets the requirements of subsection 
(a)(2)(A)(ii).’’. 
SEC. 403. INFORMATION ON ADOPTION TAX CREDIT. 
Section 471(a) of the Social Security Act (42 U.S.C. 
671(a)), as amended by sections 101(a), 103, 204(b), 206, 
and 301(c)(1)(A) of this Act, is amended— 
(1) by striking ‘‘and’’ at the end of paragraph 
(31); 
(2) by striking the period at the end of para-
graph (32) and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(33) provides that the State will inform any 
individual who is adopting, or whom the State is 
made aware is considering adopting, a child who is 
in foster care under the responsibility of the State 
of the potential eligibility of the individual for a
Federal tax credit under section 23 of the Internal 
Revenue Code of 1986.’’. 
TITLE 
V—CLARIFICATION 
OF 
UNIFORM 
DEFINITION 
OF 
CHILD AND OTHER PROVI-
SIONS 
SEC. 501. CLARIFICATION OF UNIFORM DEFINITION OF 
CHILD. 
(a) CHILD MUST BE YOUNGER THAN CLAIMANT.— 
Section 152(c)(3)(A) of the Internal Revenue Code of 
1986 is amended by inserting ‘‘is younger than the tax-
payer claiming such individual as a qualifying child and’’ 
after ‘‘such individual’’. 
(b) 
CHILD
MUST
BE
UNMARRIED.—Section 
152(c)(1) of such Code is amended by striking ‘‘and’’ at 
the end of subparagraph (C), by striking the period at the 
end of subparagraph (D) and inserting ‘‘, and’’, and by 
adding at the end the following new subparagraph: 
‘‘(E) who has not filed a joint return 
(other than only for a claim of refund) with the 
individual’s spouse under section 6013 for the 
taxable year beginning in the calendar year in 
which the taxable year of the taxpayer begins.’’. 
(c) RESTRICT QUALIFYING CHILD TAX BENEFITS TO 
CHILD’S PARENT.—
(1) CHILD TAX CREDIT.—Section 24(a) of such 
Code is amended by inserting ‘‘for which the tax-
payer is allowed a deduction under section 151’’ 
after ‘‘of the taxpayer’’. 
(2) PERSONS OTHER THAN PARENTS CLAIMING 
QUALIFYING CHILD.— 
(A) IN
GENERAL.—Section 152(c)(4) of 
such Code is amended by adding at the end the 
following new subparagraph: 
‘‘(C) NO
PARENT
CLAIMING
QUALIFYING 
CHILD.—If the parents of an individual may 
claim such individual as a qualifying child but 
no parent so claims the individual, such indi-
vidual may be claimed as the qualifying child of 
another taxpayer but only if the adjusted gross 
income of such taxpayer is higher than the 
highest adjusted gross income of any parent of 
the individual.’’. 
(B) CONFORMING AMENDMENTS.— 
(i) Section 152(c)(4)(A) of such Code 
is amended by striking ‘‘Except’’ through 
‘‘2 or more taxpayers’’ and inserting ‘‘Ex-
cept as provided in subparagraphs (B) and 
(C), if (but for this paragraph) an indi-