Repeal of deduction for spousal support payments

Spousal support (alimony and/or separate maintenance payments) are no longer deductible for any divorce or separation agreement executed after December 31, 2018, or for any divorce or separation agreement executed on or before December 31, 2018, and modified after that date. Further, spousal support is no longer included in income based on these dates, so you won’t need to report these payments on your tax return if the payments are based on a divorce or separation agreement executed or modified after December 31, 2018.

What’s next for the 2019 tax year? Divorce or separation agreements executed or modified after December 31, 2018 providing spousal will have different tax consequences. The spousal support will not be deductible for the party who makes spousal support payments and they will not be included in the income of the receiving party.