Claude Lafleur and his spouse have adopted an infant French orphan. The adoption process began on January 2, 2020 when they applied to an adoption agency licensed by the provincial government. Later that month they traveled to France to discuss the adoption and view available children. The cost of this trip was $3,850. Their provincial government opens the adoption file on March 15, 2020, and the adoption order is issued on September 29, 2020. In October, the couple returns to France to pick up their new daughter. The happy family returns to Canada on October 20, 2020. The cost of this trip is $6,280.
Additional expenses paid during the first week of October, 2020 were $1,759 paid to the French orphanage and $5,600 paid to a Canadian adoption agency. Legal fees incurred during the adoption period were $3,250. After arrival in Canada, an additional $3,200 in medical expenses were incurred for the child prior to the end of 2020. Mr. Lafleur's employer has a policy of providing reimbursement for up to $4,500 in adoption expenses eligible for the adoption expenses tax credit. This amount is received in October, 2020 and will be considered a taxable benefit to Mr. Lafleur. What is the maximum adoption expenses tax credit that can be claimed by the couple? Show your calculations.
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