Spousal Support as a Tax Deduction

Fraser Sherman for Demand Media writes: Recovering after a marriage dissolves is never pleasant, and it's often expensive. Making spousal support, child support or other payments to your ex can add to the break-up stress. If it's any comfort, some of what you pay your ex is probably tax-deductible. You can take the deduction on your Form 1040 without having to itemize.

DEFINING ALIMONY

Helping your ex with extra money in an emergency cash crunch does not count as alimony. Neither does any of the property you give up in the divorce, such as the flat-screen TV or the kitchen appliances. Alimony has to be money, including cash, checks or money orders, and it has to be under a divorce order. If you give your ex money or property when you're not legally obligated, that's generous but it's a gift, not spousal support.

LIVING CONDITIONS

It's not just divorce that gives you a tax write-off. If, instead, you and your spouse live separate lives with an agreement that provides her with separate maintenance payments, you get to deduct that too. Whether you're divorced or legally separated, though, if you and she still share the same house none of the money you give her is deductible. There's also no write-off if the two of you separate but keep filing joint returns.

CHILD SUPPORT

If you pay child support, you can't include that as a tax deduction, even if you write one check for child and spousal support both. If you're not paying everything the divorce court told you to, you can't prioritize the alimony because it's better for your taxes. Suppose you owe $5,000 in child support a month and $3,000 in spousal support. If you fall behind and only pay $3,000 one month, it's all credited to child support. There's no tax write-off.

SPECIAL CASES

Normally the spousal-support check has to go to your ex. If he tells you to send it to his sick mother instead, that's still deductible if he says in writing that it counts as an alimony payment. If your separate-maintenance agreement lets your spouse live in the house while you retain ownership, you can deduct utility bills as spousal support if you pay them. Other costs, such as property taxes and mortgage checks, aren't alimony; they're the price of ownership.