Skip to main content
February 13, 2021
Question

If I enter an amount in Schedule 1 for alimony, but to finalize my return I am continually asked to review the same question, what should I do?

  • February 13, 2021
  • 1 reply
  • 0 views
No text available

1 reply

MaryM428
February 16, 2021

Because entering directly into Schedule 1 is giving an error, try using the steps below if your received or paid alimony.  

Alimony (spousal support) you received should be reported as income if the divorce or separation agreement is executed by December 31, 2018

 

Alimony payments resulting from agreements executed after 2018 no longer have to be reported due to the Tax Cuts and Jobs Act (TCJA) that Congress signed into law on December 22, 2017. The same holds true for agreements modified after 2018 if the new version specifically states that the TCJA treatment of nonreportable alimony payments now applies.
 

To report alimony you received:

  1. Open (continue) your return in TurboTax.
  2. Inside TurboTax, search for alimony received and then select the Jump to link in the search results.
  3. Answer Yes to Did you receive alimony or spousal support? and follow the onscreen instructions.

Did you know?  If you are required to report alimony income, it's considered unearned, which means it doesn't count as earned income for the Earned Income Tax Credit (EITC). However, certain taxable alimony may meet the taxable compensation requirement to be able to contribute to a Traditional IRA.

 

You can deduct alimony paid to a former spouse as long the divorce or separation agreement is executed by December 31, 2018.
 

To enter your alimony payments:

  1. Open (continue) your return in TurboTax.
  2. In the search box, search for alimony paid and then click the "Jump to" link in the search results.
  3. Answer Yes on the Alimony Paid to a Former Spouse screen and follow the onscreen instructions.

Alimony payments resulting from agreements executed after that date can no longer be deducted due to the Tax Cuts and Jobs Act (TCJA) that Congress signed into law on December 22, 2017. The same holds true for agreements modified after 2018 if the new version specifically states that the TCJA treatment of nondeductible alimony payments now applies.