On Friday, House Democratic Caucus Leader Rocky Adkins filed House Bill 295, legislation to create a Kentucky income tax credit to offset adoption costs. The credit authorized in HB 295 is modeled after the federal adoption tax credit. Allowable expenses defined under federal law, and the state law credit is equal to 20 percent of the federal credit. The credit offsets an individual’s income tax up to the amount of the year’s tax liability, but the difference between the amount of the credit and that tax liability may be carried forward for five years. House bill 295 will be referred to a House Standing Committee within the week, where it may be considered for referral to the House Floor for passage.