It's a one-time credit that's allowed against personal Income tax for nonfamily adoptions. "Nonfamily adoptions" means adoptions of a child or children by a taxpayer who is not the father, mother, or stepparent of the child. It is a $4,000 credit which may be taken in the year of the adoption of each nonfamily child. To qualify for the credit, each child must be 17 years or younger at the time of the adoption. At the option of the taxpayer, this credit may be taken
over a period of three years.
See the Nonfamily Adoption Credit Schedule for more information.