| Over 50% of marriages end in divorce in the United | | | | are not members of the same household when you |
| States. Many divorce decrees include provisions for | | | | make the payment, |
| the payment of alimony. The IRS takes the position | | | | 5. You have no liability to make any payment (in cash |
| that such payments constitute a form of income and | | | | or property) after the death of your spouse or former |
| create an alimony tax deduction for the person making | | | | spouse; and |
| payments. | | | | 6. Your payment is not treated as child support. |
| According to the IRS, alimony payments are taxable to | | | | If you are receiving or paying alimony, you must use |
| the recipient in the year received. In turn, the person | | | | Form 1040 for your personal taxes. Regardless of |
| paying the alimony can claim a deduction for the | | | | income levels, deductions or miscellaneous tax issues, |
| payments if the following tests are met: | | | | you cannot use Form 104A or Form 1040EZ. |
| 1. You and your spouse or former spouse do not file a | | | | In preparing your tax return, the person receiving |
| joint return with each other, | | | | alimony will report the information on line 11 of Form |
| 2. You pay in cash (including checks or money orders), | | | | 1040. That person must also provide their social |
| 3. The divorce or separation instrument does not say | | | | security number to their former spouse or face a fine |
| that the payment is not alimony, | | | | of $50. The person paying the alimony can claim the |
| 4. If legally separated under a decree of divorce or | | | | deduction on line 34a of Form 1040. |
| separate maintenance, you and your former spouse | | | | |