New Hampshire Alimony FAQ's
What is alimony?
Alimony is payment to or for a spouse or former spouse under a divorce or separation agreement.
Divorce of Separation Instrument is one of the following:
- A decree of divorce or separate maintenance or a written instrument incident to that decree;
- A written separation agreement; or
- A decree or any type of court order requiring a spouse to make payments for the support or maintenance of the other spouse. This includes a temporary decree, an interlocutory decree, and a decree of alimony.
To qualify as alimony, the payments must be "periodic payments" which are either payments made in a fixed amount for an indefinite period, or payments made in an indefinite amount for a fixed period.
Alimony Income :
Since alimony is deductible from gross income by the payer it is included in gross income by the collecting spouse or former spouse. Alimony received is included in federal gross income and therefore must be included in New Hampshire gross income.
Alimony - Schedule Y Deduction :
A deduction is allowed for total amount paid to a former spouse during the taxable year for alimony or separate maintenance under a court decree.
Child Support Payments do not qualify as an alimony deduction; amounts are not deductible by the payer and are not included in New Hampshire gross income by the recipient.
Alimony Recapture :
New Hampshire follows the alimony recapture provisions as of the 1/1/98 Internal Revenue Code. The federal rules force a "recapture" of front-loaded alimony payments in year three of a divorce alimony agreement. These rules are designed to prevent property settlement payments from qualifying for alimony treatment.
Deductible payments made in the first or second year may be recaptured (reported as income by the payer) in the third year where payments within the first three years decline by more than $15,000.
For a Free Consultation Call (603) 881-9161
or
E-mail us at AnnuttoLaw@aol.com
For an attorney who cares...call today!
369 Main Street Nashua,
New Hampshire 03060
FAMILY LAW
BANKRUPTCY
CRIMINAL DEFENSE
- Criminal Defense
- DWI / DUI FAQ's
- Felony Charges
- Drug Possession
- Misdemeanors
- Domestic Violence
- White Collar Crimes
- Sex Crimes
- Juvenile Crimes
OFFICE LOCATION
Email: AnnuttoLaw@aol.com
