Alimony payments for orders effected before 2019 typically involve transferring spousal support from the higher-earning partner to the lower-earning one. It potentially brings tax savings to both parties. First, it shifts the paying spouse’s income to a lower tax bracket, reducing the money that goes to the IRS.

Can you deduct alimony in 2019?

Beginning Jan. 1, 2019, alimony or separate maintenance payments are not deductible from the income of the payer spouse, or includable in the income of the receiving spouse, if made under a divorce or separation agreement executed after Dec. 31, 2018.

When does a divorce decree go into effect?

When the clerk of courts in your county enters the divorce decree into the official records, your divorce is final. As you can see, there are several important dates related to divorce actions. The date one spouse files a petition for divorce with the court starts the process.

When does a divorce have an effect on taxes?

It changes the terms of the alimony or separate maintenance payments. It specifically says that alimony or separate maintenance payments are not deductible by the payer spouse or includable in the income of the receiving spouse. Agreements executed on or before December 31, 2018 follow the previous rules.

Which is the correct date for a divorce?

There are several dates associated with your divorce, including the date of filing and the judgment date. Generally, the judgment date, which is the date the court ruled on and issued the divorce, is the date of your divorce.

What are the changes to the divorce law?

Here are some facts that will help people understand these changes and who they will impact: The law relates to payments under a divorce or separation agreement. This includes: Divorce decrees. Separate maintenance decrees. Written separation agreements.