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Level 2
posted Jan 29, 2022 2:07:26 PM

Nontaxable income section suggests that you report any child support received because it can increased your sales tax deduction. What about nontaxable alimony?

The section states that nontaxable child support, worker's comp, and military basic quarters and subsistence allowances are included in nontaxable income, but doesn't mention nontaxable alimony (i.e. as a result of a divorce finalized in 2020). Can I include the nontaxable alimony that I receive in order to increase my sales tax deduction?

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1 Replies
Level 15
Jan 29, 2022 5:02:07 PM

yes.  the instructions for sales tax use the words notable income such as.  while alimony is listed if would qualify if non-taxable. (the reason it's probably not mentioned is that it's taxable for some but not others depending on the date it was finalized)