Search Site
 Whippany, New Jersey | New York, New York
Free 30-Minute Consultation 973-428-0800
What Are The Tax Implications Of Alimony And Child Support?

What Are The Tax Implications Of Alimony And Child Support?

Interviewer: In terms of the tax consequences for both alimony and child support, how do they affect the income taxes of both parties?

Tanya: Alimony is tax deductible to the paying spouse and it is taxable to the receiving spouse. That is allowed according to the IRS code. If, however, you have circumstances where you do not want to have the tax implications, you can make it a non-taxable event.

I am going to give you an example. Say you have a husband whose income consists of a base salary and commission. If he had to come up with the full amount of alimony every month, he may have difficulty. Even though at the end of the day it is tax deductible to him, he is still having problems because his commissions can vary.

For example, if the award is $8,000 a month, at the end of the tax year, it works for him because he can deduct the yearly total. If he gave it to the former spouse non-taxed, it would only be $6000 a month. So he will not get the tax benefit at the end.

However, it is easier for him to come up with the money without the taxes. There are circumstances like that, and there are other circumstances why people take it without the tax or give it without the tax.

Most of the time, alimony is taxable to the recipient as income and tax deductible by the paying spouse. Child support has no tax implications. There is no tax benefit or detriment for child support.

Contact us

Please fill out the form below and one of our attorneys will contact you.

Quick Contact Form

Our Offices
  • Whippany Office
    575 Route 10 East
    Suite 1
    Whippany, New Jersey 07981
    Phone: 973-428-0800
    Fax: 973-428-0830
  • New York Office
    420 Lexington Ave.
    New York, New York 10170
    Phone: 646-213-9053
  • "Without Tanya and her time, the really unpleasant experience of getting divorced would have been even worse. They were able to settle the matter very quickly and helped me fit this into my tight schedule allowing me to leave to move abroad for my dissertation research on time without having to delay the trip because of the divorce. They also did all of it within my very tight budget. Thank you so much for your help and dedication to my legal matter!"  - AG

  • "Tanya and her Associates are outstanding! What I admire most about Tanya is her knowledge of the law with her keen negotiation skills to foster mediation. Her strategies efficiently resolve conflict leading to the resolution of cases. She and her team have an outstanding work ethic, know what data are needed, and get the job done. It is a pleasure to work with such wonderful professionals."  - Tara, Whippany

  • "I found Ms. Helfand's knowledge and tenacity most reassuring during the ordeal of my divorce. She was steadfast in her guidance and was very effective in her negotiations on my behalf. I would recommend her without a second thought. "  -Jonathan

  • "Ms. Helfand was very professional and helpful with our bankruptcy case. Her advice was very useful and helped us make the proper decisions for our situation. In addition, she was very supportive during a very difficult time for us. Finally, she set very specific fee expectations and there were no surprises when it was completed. I would use her services again and would recommend her, without question."

  • "She is Incredible, very quick responding to the other party. Very professional and courteous. I highly recommend her. She has a great passion and love for every single case."

  • "Tanya and her team were very professional handling my divorce proceedings. She was very proactive in making the other attorney finally get the process moving forward. I would recommend her to anyone looking for legal services. "  -Scott

  • "Ms. Helfand strategized & processed, both, my Divorce & Chapter 13 Bankruptcy. As both cases were emotionally and legally challenging, Ms. Helfand proved to be an empowering Mentor along the path to clarity for which I am truly grateful. I highly recommend her legal expertise to anyone who is seeking a confident, savvy & caring attorney to become at peace with self and any legal matters."  -Vas

Videos View All

view All

Press Releases