House Revenue and Taxation introduces bill to extend adoption tax deduction to donated embryos

The House Revenue and Taxation Committee on March 27 introduced RS 32,732, a proposed change to Idaho’s adoption tax deduction that would allow families to claim up to $10,000 in legal and medical expenses related to the acquisition and transfer of a donated embryo that results in a live birth.

Representative Brook Green, R-Boise, said she proposed the change to expand an underused tax deduction to “highlight this little known program” and reduce the cost barrier for families seeking to adopt donated embryos. "We want to expand the existing Idaho adoption tax credit to all the legal fees and medical expense ... up to $10,000 legal fees and medical expenses related to the acquisition and transfer of a donated embryo that results in a live birth," Green said during the committee introduction.

Representative Jeff Ehlers, R-Meridian, who joined as a sponsor for the RS, told the committee a fiscal note tied to the change is “approximately $60,000.” He said the actual tax benefit per filer—under Idaho’s flat 5.3 percent rate—would be roughly $530 if the full $10,000 deduction were claimed. "The benefit here of a $10,000 deduction is ... about…