If you’re considering divorce, or facing it, you might be wondering is alimony tax deductible?
Divorce rates are ever-increasing and that has led to the creation of alimony laws where (usually) the higher income earner has to provide some support to the other spouse.
So, let’s dig in to alimony and the tax situation you’re going to be facing.
Is Alimony Tax Deductible?
After the Tax Cuts and Jobs Act (TCJA), alimony is no longer tax-deductible. But tax-deductible alimony has only been eliminated from 2019 to 2025, according to the TCJA. In 2025, when the TCJA expires, congress could make alimony tax deductible again.
For individuals who must pay alimony, this change can be expensive–because the tax savings from being able to deduct alimony payments can be substantial.