50,000 Americans are receiving $5,000 payments, IRS says: Do you qualify?
The Internal Revenue Service is sending $5,000 refunds to a select group of 50,000 Americans. The refunds are related to a specific tax credit for adoptions and a change in tax laws. The Internal Revenue Service has begun issuing refunds related to carryforwards from the adoption tax credit due to a change in the Working Families Tax Cut law. The money comes from unused tax credits families carried forward because their tax bills were too small to absorb them. Prior to the change, adoption tax credits carried forward could only offset any taxes that were owed. For lower-income families that didn't owe taxes, the adoption credit could sit unused for years. The change applies to the 2025 tax year only. To qualify, you must: Have carried an unused adoption credit from 2020 through 2024 into 2026 Filed your tax return before April 15, 2026. No, according to the IRS. Refunds are capped at…
