Policy

IRS Targeted Adoptive Families

90 percent of families claiming adoption credit were flagged for further review

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Another day, another headache for the Internal Revenue Service.

This time, the federal agency is being accused of mishandling the tax returns of adoptive families.

A report from the IRS's Taxpayer Advocate Service says that 90% of families who claimed the adoption tax credit during the 2012 filing season had their returns flagged for further review. Nearly 70%t had at least a partial audit of their tax return.