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Level 1
June 5, 2019
Question

Part of my divorce settlement, I made a one-time alimony payment of approx. $17,000 to my ex-wife. We split the total funds 50/50 and then I made an additional payment.

  • June 5, 2019
  • 1 reply
  • 13 views

Can I deduct the $17,000 as It was in lieu of alimony payments and came from a retirement fund and rolled into her retirement fund.  This is noted on the final divorce papers.

1 reply

Level 7
June 5, 2019

It depends.  If your final divorce papers specifically titled the transfer of funds from your retirement account alimony, then yes, you can take the alimony deduction.  However, this sounds more like a property settlement.  And property settlements between you and your former spouse are not considered alimony.

See this TurboTax article Getting Divorced for additional information.