The New treatment of alimony under the 2017 Tax Reform Law
The Tax Cuts and Jobs Act (the Act) has made changes to the tax treatment of alimony. These changes take effect for divorce agreements and legal separation agreements executed after 2018.
Current rules
Under the current rules, an individual who pays alimony or separate maintenance may deduct an amount equal to the alimony or separate maintenance payments paid during the year as an "above-the-line" deduction. (An "above-the-line" deduction, i.e., a deduction that a taxpayer need not itemize Read more [...]