For a domestic adoption of a U.S. child that was not finalized in 2011 or earlier, attach one or more of the following documents.

For domestic adoptions finalized in 2011 or before, and foreign adoptions finalized in 2011, check the box in column (g) and attach one or more of the following documents:

For adoption of a child with special needs, in addition to the requirements above, you must check the box in column (d) and attach a copy of the state determination of special needs to your income tax return.

If you made more than one attempt to adopt one eligible U.S. child, combine the amounts you spent and complete only the “Child 1” line. Do not report the additional attempt(s) on the “Child 2” or “Child 3” line. Complete the “Child 2” or “Child 3” lines only if you adopted or tried to adopt two or three eligible children.

If you adopted or tried to adopt more than three eligible children, fill in and attach as many Forms 8839 as you need to list them. Also, enter “See Attached” to the right of the Caution below line 1.

For Part II, fill in lines 2 through 6 and 10 and 11 for each child. But fill in lines 7 through 9 and 12 on only one Form 8839. The amount on line 12 of that Form 8839 should be the combined total of the amounts on line 11 of all the Forms 8839.

For Part III, fill in lines 13 through 16, 18, 22, and 23 for each child. But fill in lines 17, 19 through 21, 24, and 25 on only one Form 8839. The amount on line 17 of that Form 8839 should be the combined total of the amounts on line 16 of all the Forms 8839. The amount on line 24 of that form should be the combined total of the amounts on line 23.

A disabled individual is an eligible child, regardless of the individual's age at the time of adoption, if the individual is physically or mentally unable to take care of himself or herself.

A child is a child with special needs if all three of the following statements are true.

You may be able to claim an exclusion or credit for the adoption of a U.S. child with special needs even if you did not pay any qualified adoption expenses. See line 18 and the instructions for line 5.

A child is a foreign child if he or she was not a citizen or resident of the United States or its possessions at the time the adoption effort began.

Special rules.   If you paid qualified adoption expenses in 2011 or any prior year in connection with the adoption of a foreign child and the adoption became final in 2011, you can use the total expenses you paid in 2011 and all prior years in determining the amount to enter on line 5. If you and another person (other than your spouse if filing jointly) each paid qualified adoption expenses to adopt the same child, the total qualified expenses must be divided between the two of you. You can divide it in any way you both agree.

Exclusion of Prior Year Benefits Worksheet  
(for the adoption of a foreign child that became final in 2011)

1.	Enter the total employer-provided adoption benefits you received in 2011 and all prior years for the adoption of the foreign child	1.
2.	Enter $13,360. If you and another person (other than your spouse if filing jointly) each received employer-provided adoption benefits in 2011 or any prior year to adopt the same child, see instructions below.	2.
3.	Enter the smaller of line 1 or line 2 here and on Form 8839, line 13. If necessary, cross out the preprinted amount on line 13 and enter the result above the preprinted amount	3.
Next:
	Enter -0- on Form 8839, line 14. Enter the amount from line 3 above on Form 8839, line 15. On Form 8839, line 16, enter the total amount of employer-provided adoption benefits received in 2011 and all prior years. On the dotted line next to line 16, enter “PYAB” and the total amount of benefits you received before 2011. Complete Form 8839 through line 24. Then, complete lines 4 through 9 below to figure the amount of any prior year benefits you can exclude and the taxable benefits, if any, to enter on Form 8839, line 25.
4.	Is the amount on your 2011 Form 8839, line 24, less than the amount on Form 8839, line 17?
	□ No. Skip lines 4 through 6 and go to line 7.
	□ Yes. Subtract Form 8839, line 24 from line 17	4.
5.	Enter the total employer-provided adoption benefits you received before 2011 included on Form 8839, line 16, for all children	5.
6.	Taxable benefits. Subtract line 5 from line 4. If zero or less, enter -0-. Enter the result here and on Form 8839, line 25. If more than zero, also include this amount on line 7 of Form 1040 or line 8 of Form 1040NR, and enter “AB” on the dotted line	6.
7.	Enter the amount from Form 8839, line 24	7.
8.	Enter the total 2011 employer-provided adoption benefits included on Form 8839, line 16, for all children	8.
9.	Prior year excluded benefits. Subtract line 8 from line 7. If zero or less, stop; you cannot exclude any of your prior year benefits	9.
	Next. Figure the total you would enter on line 7 of Form 1040 or line 8 of Form 1040NR before you exclude the amount from line 9 above. Then, subtract the amount from line 9 above from that total. Enter the result on line 7 of Form 1040 or line 8 of Form 1040NR. On the dotted line next to the line for wages, enter “PYAB” and the amount from line 9 above.

Line 2. The maximum amount of employer-provided adoption benefits that can be excluded from income is $13,360 per child. If you and another person (other than your spouse if filing jointly) each received employer-provided adoption benefits to adopt the same child, the $13,360 limit must be divided between the two of you. You can divide it in any way you both agree. Enter your share of the $13,360 limit on line 2 of the worksheet above.

  If the adoption did not become final by the end of 2011, you cannot take the adoption credit for that child in 2011. If the adoption becomes final in a later year, you may be able to take a credit for the expenses in that year.

  To find out when a foreign adoption is treated as final, see Rev. Proc. 2005-31, 2005-26 I.R.B. 1374, available at www.irs.gov/irb/2005-26_IRB/ar14.html, and Rev. Proc. 2010-31, 2010-40 I.R.B. 413, available at www.irs.gov/irb/2010-40_IRB/ar10.html.

  

The Hague Convention on Protection of Children and Co-operation in Respect of Intercountry Adoption (Hague Adoption Convention) entered into force for the United States on April 1, 2008. The Hague Adoption Convention applies if you adopted a child from a country that is party to the Hague Adoption Convention and you filed your application and petition (Forms I-800A and I-800) with the U.S. Citizenship and Immigration Service after March 31, 2008. See www.adoption.state.gov for more information on the Hague Adoption Convention, the application and petition, and a complete list of countries that are parties to the Convention.

  If you received employer-provided adoption benefits in 2011 in connection with the adoption of a foreign child and the adoption did not become final by the end of 2011, you must include the benefits in the total entered on Form 1040, line 7, or Form 1040NR, line 8. Also, enter “AB” (adoption benefits) on the dotted line next to Form 1040, line 7, or Form 1040NR, line 8. If the adoption becomes final in a later year, you may be able to exclude the benefits from your income in that year.

Exclusion of prior year benefits.

If you received employer-provided adoption benefits before 2011 in connection with the adoption of a foreign child and the adoption became final in 2011, you may be able to exclude part or all of those benefits from your 2011 income. To find out if you can, complete the Exclusion of Prior Year Benefits Worksheet. You also must use that worksheet to complete Form 8839, Part III, and to figure any taxable benefits to enter on Form 8839, line 25.

If the adoption of more than one eligible foreign child became final in 2011, complete lines 1 through 3 of the Exclusion of Prior Year Benefits Worksheet separately for each foreign child and use the combined totals to complete lines 4 through 9 of the worksheet.

Enter the child's identifying number. This can be a social security number (SSN), an adoption taxpayer identification number (ATIN), or an individual taxpayer identification number (ITIN).

Enter the child's SSN if the child has an SSN or you will be able to get an SSN in time to file your tax return. Apply for an SSN using Form SS-5.

If you are in the process of adopting a child who is a U.S. citizen or resident alien but you cannot get an SSN for the child in time to file your return, apply for an ATIN using Form W-7A. However, if the child is not a U.S. citizen or resident alien, apply instead for an ITIN using Form W-7.

Check the box in column (g) if the adoption for each child became final in 2011 or earlier.