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Alimony and Taxes: What You Need to Know

Tax time is officially here, which means it is time to report income and expenditures and hopefully receive a refund. If you are paying or receiving alimony, then it is important to realize that those payments affect your tax return.

Alimony and Taxes

It is best to file your return with a tax professional, but here are a few things to get you started and to help you understand the basics.

Reporting Alimony on Tax Returns

You must report the full amount of alimony you received for the year on your tax return. Child support is not included in this alimony collection because child support is non-taxable by the federal government.

You are required by the IRS to report the full amount received for the year on Line 11 of your 1040 Form. Your spouse will also be required to report this amount to the IRS under your social security number. So do not assume that if you don’t report it, you won’t get caught.

Paying Alimony and Reporting it on Tax Returns

If you paid alimony to an ex, then you must also report the amount paid. This is reported on Line 31 of your 1040 Form. You will not report any child support payments made.

You also write down your ex’s social security number on Line 31b for reporting purposes and the amount of alimony paid goes on Line 31a.

Can You Deduct Alimony Payments?

If you receive alimony, it does count toward your taxable income. While there are special provisions for this income amount, keep in mind that you will need to pay taxes on that income.

If you are the one paying alimony, then you may be able to deduct those alimony payments. To qualify for a tax deduction you must:

  • File a separate return from your ex-spouse.
  • Pay the alimony in a check, money order or cash form.
  • Prove the payment was accepted and given to your ex.
  • Have a court-ordered alimony decree.
  • Prove the payment does not count as child support.

It is best to always pay your alimony via check or bank transfer so that you have check numbers and confirmation codes proving the payments you made.

Whether you are receiving or giving, it is imperative you keep track of the amounts, dates, and other details for tax purposes.

Meet with an Attorney to Discuss Your Alimony Payments

Whether you have questions about your alimony payments or you need to request alimony from the courts, the attorneys at the Estevez-Pazos Law Firm can help. Call us today for a no obligation consultation.

Contact us

The Estevez-Pazos Law Firm, P.A.
1541 Sunset Drive, Suite 201
Coral Gables, Florida 33143

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