Dating your wife during separation

10-Jul-2017 16:03

It is also acceptable to make the alimony nontaxable to the recipient if it is nondeductible for the payor.This is a particularly important term, and the agreement should clearly indicate how alimony payments shall be treated for tax purposes. Alimony usually ends at the death of either party or the remarriage of the payee/recipient (usually the wife). In North Carolina, non-consensual alimony is only granted by the court.The child tax credit, 0 per year for 1999 and later, cannot be separately allocated; it goes to the parent who has the dependency exemption for the child involved. Should the exemption be "traded" (instead of ) to the other parent -- in exchange for an increase in child support, for example?Even a small increase in support would help offset the tax increase that will be paid by the custodial parent upon losing the exemption and the credit.· For it to be valid, the agreement must be signed at or after the parties' separation.

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Without a written agreement, the parent who has physical custody of a child for more than one-half the year will get the dependency exemption.Instead of transferring the exemption without regard to payment of child support on time, some custodial parents agree to a transfer of the dependency exemption only if the other parent is current on child support payments by December 31 of each year. The cost of some private colleges and universities would bankrupt the average parent.

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