Are Alimony and Child Support Taxable?

As if divorce wasn’t emotional and difficult enough, new tax laws are further complicating matters. If you are filing for divorce in 2019 and you expect to receive or pay alimony or child support payments, you need to be aware of some recent changes to tax law.

Understanding the Tax Implications of Child Support and Spousal Support

The new tax law went into effect on January 1, 2019. This law has outlined major changes to alimony payments, in particular. Here are the basics of how these laws have changed.

Alimony Payments

In the past, alimony was considered a form of income, and if you received alimony, you needed to report it on your tax return. This income was taxable, and failure to report it was a crime.

Additionally, the person who paid alimony would get to deduct it from their return. Though they may not have liked paying out alimony payments, they at least had the consolation of knowing that the payments were tax deductible. Not so anymore.

Starting January 1, 2019, alimony payments no longer need to be reported as income by the receiving spouse. Additionally, the spousal support payments are no longer considered deductible by the new tax law.

This may seem like the receiving spouse has an unfair advantage under these new rules; however, the implications could go either way. With these new rules, the person who must pay spousal support may fight harder for lower payments, because they are no longer tax deductible. This could result in less support for the receiving spouse.

This new law could also result in nastier divorce proceedings and more difficulty coming to resolutions regarding alimony payments.

Child Support Payments

As for child support payments, they are not deductible. This income is not added to the receiving spouse’s income, nor is it taken out of the payee’s gross income. To clarify, the person who pays child support must still report their gross income to the Internal Revenue Service (IRS).

They can’t subtract the child support payments (deduct them), and so in that way, the income is still taxable. In some situations, you might be entitled to a child tax credit by claiming the child as a dependent.

In general, the custodial parent (the person receiving child support payments) would be the one who gets to take advantage of the child tax credit. If that parent agrees to let you claim the child for tax purposes, they would have to sign the following form: Form 8332, Release/Revocation of Release of Claim to Exemption for Child by Custodial Parent.

For additional questions related to the new tax law, you should contact a child support attorney.

See How a Family Divorce Attorney Can Help Resolve Alimony or Child Support Issues

There’s no question that the new tax law is going to have everyone in a tizzy, but you don’t have to navigate this new frontier on your own. Your family attorney can carefully guide you through this process so that you understand how your divorce will impact your taxes and so you can be sure that this new law doesn’t unfairly penalize you financially.

Contact The Law Office of Laurence J. Brock to get started on your case. Call 909-466-7661, or send in the contact form located down below.

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Where to Turn for Support After a Divorce

After a divorce is finalized, you might feel as if you have less support than ever. You no longer have your partner to turn to, so you might need to figure out other ways of handling issues by developing a new support system. Thankfully, there are many programs throughout California that can provide support after a divorce.

Types of Support Programs

If you are feeling down or lonely, you can turn to divorce support groups that can help you through this difficult transition. For example, DivorceCare, Divorce Support Group, and Women’s Divorce Group are just a few options that you could look into. Psychology Today has a hefty list of options to choose from. If a divorce support group isn’t what you’re looking for, you could consider one-on-one therapy sessions, which can teach you coping skills and self-care. However, if you need help with a legal matter post-divorce, you might want to retain the services of your family lawyer.

What Can Your Lawyer Help With After a Divorce?

Your family lawyer can help you with more than just divorce proceedings. For example, your attorney can help you with modifying a child custody arrangement, or ending or modifying spousal support or child support payments.

Obtain Legal Assistance Post-Divorce by Reaching Out to Our Firm

Your life is going to look different after a divorce, and it might take some getting used to, but there is support out there for you. If you need a support group, there are many to choose from that welcome new members with open arms. If you need a family lawyer to help with post-divorce issues, you have one of those, too. Get in touch with a California Family lawyer at The Law Office of Laurence J. Brock. Head over to our website or call our office at 909-466-7661.

How to Prepare for Child Custody Mediation

Child custody is a hot-button issue when it comes to divorce or legal separation. You want to spend as much time as you can with your children, and you likely don’t want the other spouse to end up with more time than you. Emotions will run high, harsh words will be exchanged, and the children could suffer as a result.

Taking your custody issues into the courtroom can be a stressful process, and the judge has the ultimate say in custody. That’s why many divorcing spouses opt for mediation.

But, will it actually work? Or, will you be unable to get what you want and end up back at square one? That depends on the situation, but with mediation, both parties have the opportunity to speak their minds in a safe and open environment.

 

Preparing for Child Custody Mediation

The only way to see whether mediation will work for you is to give it a try. If you want the very best outcome possible, then you will need to arrive at mediation as prepared as possible. How can you prove to your ex that you deserve custody of your children, and how can you show your ex’s lawyer that you are a fit parent?

You will need to bring evidence to support your position. Everyone’s goals will be different when they enter into mediation. Some might want to receive sole custody; some will be satisfied with a fair split; others might want only partial custody. Whatever your goals, you will still need to be able to prove that you have the child’s best interests at heart.

Below is a list of tips and ideas on what you should bring to mediation and how you can be prepared before entering negotiations:

• Dress appropriately. This is an important meeting and you need to take it seriously.
• Bring evidence of stable employment and income.
• Bring evidence of a stable residence.
• Have lists prepared on how you are going to care for the child, including extracurricular activities you would like your child to engage in, and plans on how you will handle childhood difficulties.
• Bring evidence that you have a support system for you and your children.
• Remember to remain calm during mediation meetings and always listen to the other side.
• When it’s your turn to speak, keep only the child’s best interests in mind and in the conversation. All other issues that took place during the marriage have no place here. Will you provide for the child and care for the child? That’s what matters now.
• If you believe the other parent is unfit to receive joint custody you need to bring proof. Show the other side that if you took your custody case to court you would most likely win.

 

Obtain Legal Assistance During Child Custody Mediation

The above are just a few ideas for how you can prepare for child custody mediation. Each case is unique and you will want to speak with a highly trained family lawyer before entering into the mediation process.

To speak with an attorney today, reach out to The Law Office of Laurence J. Brock. Call 909-466-7661 or send in the online contact form below.

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