Tax and IRS Problems
No. Since the 2018 Tax Cuts and Jobs Act, the recipient of alimony or spousal maintenance does not have to report payments as income on their taxes. The person paying the alimony can no longer deduct it from his or her taxes.
The IRS considers the custodial parent as the one who claims the child as a dependent.
To qualify, the child must be under age 19 or a full-time student under 24. The child must live with and receive half their support from the claiming parent.
Bankruptcy can eliminate or reorganize tax debt, but only under specific conditions.
Timely filed personal taxes over three years old might be dischargeable. However, late filings or taxes from the last three years are considered priority debts and are non-dischargeable.
Chapter 13 bankruptcy allows tax debt reorganization over five years. This option offers manageable payments and can stop the accrual of interest.
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