Divorce Settlement

Question

Divorce was finalized in 2002.  I was offered/received a maintenance/alimony settlement in 2025. Would I receive a 1099? Do I pay taxes on this?

MatthewD · Accepted Answer

Hi Weeniebeep,

Since the original agreement was executed before 2019, the rules under the Tax Cuts and Jobs Act (TCJA) that make alimony tax-free do not apply, unless the 2025 agreement specifically states it is modified to follow the new (post-2018) rules.

You may not get a 1099 form reporting the alimony for 2025.  See the Other Income menu under Income > Uncommon Income to report the alimony.