Schaumburg Divorce Lawyer

Prior to 2019, spousal maintenance (also known as alimony) payments were tax-deductible for the payor spouse and not included in gross income calculations.  Conversely, the recipient spouse was obligated to include maintenance payments when calculating gross income, thereby making maintenance taxable income for the recipient.  Under the new law, the tax burden of maintenance payments has shifted from the recipient spouse to the payor spouse.  This will likely lead to lower alimony payments, as the obligor spouse will now pay taxes on maintenance money twice; once via taxes taken out by his or her employer, and again when gross income is calculated and taxed.  Payor spouses are more likely to fight for lower payments because there is no longer a tax incentive for maintenance, which may lead to longer and uglier divorces. #Illinoisspousalmaintenancelaw, #alimony, #alimonynotdeductible,