Black Calculator Beside Silver Round Coins
Alimony payments:
Pre-2019 divorceUsually must be included in the gross income of the recipientCan be deducted by the payer (if all requirements are met)The divorce agreement may designate alimony as nontaxable and nondeductible
Post-2018 divorceNot included in the gross income of the recipientCan’t be deducted by the payer

Marrying someone with children from a prior relationship can create a variety of income tax questions. Here are some points to consider.
Child support payments:
Ordinarily considered nontaxable income of the recipientAre not deductible by the payer
Medical expenses deduction:
Custody of the child isn’t requiredClaiming the child as a dependent isn’t required (although you must be eligible to claim the child as a dependent)Medical expenses are only deductible as an itemized deduction on Schedule A, Form 1040, to the extent they exceed 7.5% of adjusted gross income (AGI) on the tax return
Child and dependent care credit:
Can only be claimed by the custodial parentMust be for child-care expenses incurred so you can workCan claim, if qualified, even if you’re not claiming the child as a dependent because you release the right to claim the child to the noncustodial parent
Child (and additional child) tax credit:
Can claim, if qualified, for a child you claim as a dependentCustody of the child isn’t required
Education tax credits:
You must be claiming the child as a dependentYou must have paid qualified tuition and/or related expenses

Comments are closed.

Skip to toolbar