15-30-2321. (Temporary) Adoption tax credit -- rulemaking. (1) A resident taxpayer is allowed a credit against the tax imposed by 15-30-2103 or 15-30-2151 for the legal adoption of an eligible child on or after July 1, 2022.

(2) The amount of the credit allowed under subsection (1) is equal to:

(a) $7,500 in the tax year the adoption is final if the eligible child was in foster care under the custody of the state as provided in Title 41, chapter 3, at the time of adoption; or

(b) $5,000 in the tax year the adoption is final if the eligible child does not meet the requirements of subsection (2)(a).

(3) To claim the credit under this section, the taxpayer shall:

(a) include the name, age, location of birth, and federal tax identification number, if known, of the eligible child on the tax return; and

(b) provide other information as required by the department, including the identification of an agent assisting with the adoption.

(4) The taxpayer is entitled to a refund equal to the amount by which the credit exceeds the taxpayer's tax liability or, if the taxpayer has no tax liability under this chapter, a refund equal to the amount of the credit. The credit may be claimed by filing a Montana income tax return.

(5) Only one credit is allowed for each eligible child.

(6) The department shall adopt rules to administer this credit.

(7) For the purposes of this section, "eligible child" means a child under the age of 18 or a person who is physically or mentally incapable of providing self-care. (Terminates December 31, 2031--sec. 6, Ch. 493, L. 2023.)