Four Exceptions To The Recapture Of Front-Loading Of Maintenance

This is part of our Divorce Tips series

The Tax Reform Act of 1984 enacted rules designed to prevent excess front-loading of maintenance payments. Recapture under §71(f) can occur only in the third post-separation year. The Internal Revenue Code under Section §71(f)(5) provides four exceptions where the alimony recapture rules do not apply:

Exception #1: Either spouse dies before the end of the third post-separation year or the spouse entitled to receive the payments remarries before the end of the third post-separation year. [§71(f)(5)(A)(i)]

Exception #2: [Read more]

Sharing Children For Tax Purposes

Starting with 2009 tax returns, a noncustodial parent claiming the tax exemption for a child much complete a Form 8332 if  you were divorced (or changed your agreement) after 2008. The noncustodial parent will have to attach Form 8332 singed by the custodial parent and whose only purpose is to release a claim to the exemption.

Check with your tax preparer and/or attorney if you think this situation may apply to you.